The African Development Bank Group (AfDB) and Agence Française de Développement (AFD) have signed a new five-year Memorandum of Understanding (MoU), set to significantly expand infrastructure financing across 14 African countries from 2026 to 2031. This renewed agreement builds on a robust partnership that has already supported 17 jointly financed projects since 2021, targeting critical development sectors across the continent.
The latest MoU signals a deeper commitment to fostering sustainable economic growth and climate resilience through strategic investments in essential infrastructure. Both institutions aim to leverage their combined expertise and financial resources to address Africa’s persistent infrastructure deficit, which remains a significant impediment to socio-economic progress.
Officials from both development banks underscored the strategic importance of the collaboration. Dr. Akinwumi Adesina, President of the AfDB, stated at the signing, "This new MoU underscores our shared vision for a prosperous and resilient Africa. By pooling our resources and knowledge, we can accelerate the delivery of transformative projects that genuinely improve lives and foster sustainable development across the continent."
The expanded partnership will focus on a range of priority sectors, including renewable energy, sustainable transport, water and sanitation, digital infrastructure, and support for agricultural value chains. These areas align with the AfDB’s High 5 strategic priorities, which aim to Light up and Power Africa, Feed Africa, Industrialise Africa, Integrate Africa, and Improve the Quality of Life for the People of Africa.
Rémy Rioux, CEO of AFD, highlighted the evolution of the partnership, noting, "Our collaboration with the AfDB has yielded tangible results, demonstrating the power of international cooperation in driving impactful change. This new framework for 2026-2031 allows us to amplify our efforts, focusing on innovative financing mechanisms and climate-compatible solutions that address the unique challenges and opportunities in African nations."
Deepening a Strategic Partnership for Sustainable Growth
The previous phase of the partnership, active since 2021, saw joint investments in projects ranging from large-scale solar power plants and regional transport corridors to urban water supply networks and digital connectivity initiatives. These projects have collectively enhanced regional integration, boosted economic activity, and improved access to essential services for millions of Africans. The success of these initial ventures provides a strong foundation for the intensified cooperation outlined in the new MoU.
Under the new agreement, the AfDB and AFD will not only co-finance projects but also enhance cooperation in areas such as technical assistance, capacity building, and policy dialogue. This holistic approach ensures that investments are not only financially sound but also socially inclusive and environmentally sustainable. The focus will be on projects that can attract further private sector investment, promoting blended finance solutions to maximise impact and leverage additional capital.
The collaboration is particularly timely as African countries navigate complex global economic challenges and the increasing urgency of climate change. Both institutions are committed to supporting Africa’s green transition, with a strong emphasis on clean energy projects and infrastructure designed to withstand climate shocks. This includes promoting energy efficiency, developing smart cities, and investing in climate-resilient agriculture.
The 14 African countries targeted for this expanded financing will benefit from tailored support that addresses their specific development needs and priorities. The selection of these countries is based on a comprehensive assessment of their strategic importance, development potential, and readiness for large-scale infrastructure projects. Both the African Development Bank Group and Agence Française de Développement anticipate that this renewed commitment will unlock significant economic opportunities, create jobs, and foster greater regional stability.
The implementation of the MoU will involve regular reviews and strategic discussions to ensure projects remain aligned with evolving development landscapes and achieve their intended outcomes effectively. The long-term nature of this partnership reflects a shared understanding that sustainable infrastructure development is a marathon, not a sprint, requiring sustained commitment and collaborative effort.
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