CARICOM Development Fund and Afreximbank Sign Grant Agreement to Establish Green, Resilience and Sustainability Facility
Canadian Development Fund (CDF) and African Export Foreign Bank (AFREXIMBANK) (AFREXIMBANK) (www.afreximbank.com) has signed a €708,000 grant agreement to support the development of Green, Resilience and Sustainability Facilities (GRSF). The agreement was formalized at the 48th regular meeting of the President of the Gallicombe Government, held recently at Sam Lord Castle, Grand Barbados, Wyndham.
GRSF’s commitment to providing hybrid financing, preferential financing and other commercial financing programs supports Caricom’s development directly by enhancing regional resilience, sustainability and economic adaptability. By providing flexible financial solutions, the fund empowers Caricom member states to invest in critical infrastructure, climate adaptation projects and sustainable development programs. This strategic approach is in line with Caricom’s vision for more resilient and self-sustaining regions, ensuring long-term growth while mitigating environmental and economic vulnerabilities.
Mr. Rodinald Soomer, CEO of Caricom Development Fund, stressed the importance of partnerships in advancing the Caribbean sustainability agenda. “This grant from Afreximbank will enable CDF to drive the support of Canadian member states amid the pressing environmental and economic challenges of our time. Green, resilience and sustainability facilities are a critical step in ensuring long-term resilience and economic sustainability.”
Professor Benedict Oramah, Chairman and Chairman of Afreximbank, said: “The GRSF will provide a means to catalyze and mobilize investment to support Caribbean countries facing economic and fiscal challenges due to the effects of frequent and strong adverse weather phenomena associated with climate change. It will also serve as a mechanism to fund climate-related losses and damages and build resilience that will mitigate the impact and empower Caribbean community member states to withstand these challenges, aiming to end the $20 billion shortage of resilience financing.”
Afreximbank and CDF consolidate their strategic partnership through the MoU and CDF’s acquisition of stocks in Multilateral Development Banks, demonstrating a shared commitment to future cooperation.
The grant agreement was signed at the 48th regular meeting of the Garycombe Administration Directors’ Meeting, which convened regional leaders to discuss pressing issues, including economic recovery, climate action and sustainable development. The signing of the ratification agreement marks an important milestone in strengthening regional and international cooperation for sustainable growth.
The CDF recognizes that as the development challenges in the region become more complex, many people are best able to solve them through market-based solutions. CDF’s financial innovation team is working to expand collaboration with various sectors and establish groundbreaking approaches to catalyze investments in disadvantaged countries, regions, sectors and communities.
Investors and businesses are increasingly paying attention to new opportunities in emerging markets. However, investing in these markets is complex and CDF plays an important role in mobilizing investment in high-impact areas. Encouraging these investments requires new forms of cooperation. Since its inception, CDF has been engaged to several partners to collaborate on its mission. Recently, it also worked with the United States Agency for International Development (USAID) to deliver the Caribbean Community Resilience Fund (CCRF), a hybrid financial fund designed to mobilize capital from commercial, development financial institutions and influence investors towards climate resilience and economic sustainability aspects of the Caribbean.
Distributed by Apo Group on behalf of Afreximbank.
Media Contact Name:
Vertical center
Communication and Event Manager (Media Relations)
vmusumba@afreximbank.com
About the Canadian Development Fund:
Founded in 2008, CDF is a regional financial institution in the Caribbean Community (CARICOM) designed to provide technical and financial assistance to disadvantaged countries, regions, regions and sectors participating in the Garycombe Single Market and Economy (CSME). The CDF is committed to providing effective, efficient and sustainable solutions that address challenges faced by its member countries and accelerate sustainable economic development for the Gallian community by providing innovative solutions designed to reduce regional differences through effective partnerships and providing tailored solutions designed to build resilience. CDF is located in Barbados.
For more information on this partnership and upcoming plans, visit www.caricomdelopmentfund.org
About African Export Foreign Bank:
The African Export International Bank (AFREXIMBANK) is a pan-African multilateral financial institution designed to fund and promote external trade in Africa. For more than 30 years, the bank has been deploying innovative structures to provide financing solutions to support the African trade structure, accelerate industrialization and the structure of intraregional trade, thereby promoting economic growth in Africa. Afreximbank is a staunch supporter of the African Continental Free Trade Agreement (AFCFTA), and has launched the Pan African Payment and Reconciliation System (PAPSS), which is used by the African Union (AU) as a payment and reconciliation platform to support the implementation of the AFCFTA. The bank has established a $10 billion adjustment fund in partnership with the AFCFTA Secretariat and the AU to support countries that are effectively participating in the AFCFTA. As of the end of December 2023, Afreximbank’s total assets and contingency expenses exceeded US$37.3 billion, with its shareholder funds totaling US$6.1 billion. Afreximbank has investment ratings allocated by GCR (International Scale) (A), Moody’s (BAA1), Japanese Credit Rating Agency (JCR) (A-), and Fitch (BBB). Afreximbank has evolved into a group entity composed of banks whose subsidiaries affecting the fund are called Export Development Fund Africa (FedA) and its insurance management subsidiary Afreximlinesure (together, “Group”). The bank is headquartered in Cairo, Egypt.
