Abu Dhabi Fund for Development and the International Finance Corporation (IFC), a member of the World Bank Group, have signed a memorandum of cooperation (MoC) during the World Government Summit to support investments in emerging markets related to the clean energy transition, climate mitigation and adaptation, the adoption of clean technologies, and food security.
The cooperation framework looks to strengthen the strategic collaboration between the two organisations in several key areas, including by co-investing up to Dhs5.5bn ($1.5bn) in private sector-led projects, according to the state news agency, WAM.
Mohamed Saif Al Suwaidi, director-general of Abu Dhabi Fund for Development, shared that this partnership presented promising opportunities for attaining the sustainable development goals of developing countries.
Abu Dhabi Fund for Development and IFC to support development programmes
“The cooperation framework will boost investment in climate and food security projects in crucial sectors such as renewable energy and food security. It will also help stimulate economic activity in both the national private sector and in developing countries, enabling countries to achieve their development goals and programmes,” said Al Suwaidi.
Makhtar Diop, managing director of IFC., in turn, stated, “To tackle climate change, ensure food security, and address unemployment, we need a strong private sector. We are joining forces with ADFD to co-finance private sector projects that address the most pressing challenges of our time.”
Through the MoC, Abu Dhabi Fund for Development and IFC will work to enhance cooperation and exchange of experiences, especially in supporting small and medium enterprises to promote economic development by encouraging the growth of private business enterprises in developing countries, reported WAM.
In other news, Masdar also signed an agreement with IFC to explore areas of collaboration to support climate action for emerging markets.
Read: Masdar, IFC to jointly advance climate action in emerging markets
Masdar will explore support for the establishment of green hydrogen platform for emerging markets, and potential collaboration on bankability and structuring issues for African renewable energy projects.
The framework also covers exploring mechanisms to accelerate the adoption of distributed photovoltaic systems, and the development of innovative new technologies and business models in emerging markets in response to the evolving climate crisis.