OPEC Fund approves over US$600 million in new financing for global development

December 14, 2023: The OPEC Fund for International Development (the OPEC Fund) has approved more than US$600 million in new development financing at the meeting of its Governing Board today and in the final quarter of 2023.

The 18 new projects reflect the OPEC Fund’s commitment to advancing sustainable social and economic development in its partner countries. The new funds will support projects in the transportation, health, education and energy sectors, and will promote climate action and food security, and bolster international trade. 

OPEC Fund Director-General Abdulhamid Alkhalifa said:

“In 2023 we continued to strengthen our impact and increase commitments in support of sustainable social and economic development in our partner countries all across the globe. The new projects approved today will empower communities and improve living conditions for millions of people, while promoting climate resilience, food security, international trade and better health and education services.”

The OPEC Fund Governing Board approved the following projects: 

Public sector operations: 
China: A US$50 million loan will support the financing of the Jiangxi Vocational Education Project to expand and strengthen vocational education in the Jiangxi province and provide market-oriented education for about 5,000 students every year.

Comoros: A US$17 million loan will co-finance the El-Maarouf Hospital Project, improving the existing hospital infrastructure and extending its capacity by 300 beds to provide modern healthcare services to the island state’s population.

Liberia: A US$20 million loan will support the Mano River Union Road Development and Transport Facilitation Project (Liberia Section). The upgrading of the existing road infrastructure will facilitate trade between Liberia and Sierra Leone by reducing travel times and increasing trade volumes.  

Madagascar: A US$30 million loan will support the co-financing of the Facilitation of Commerce Corridors Project, enabling the interconnection of the Island’s southern region and integrating commercial road and sea networks. This will increase access to remote areas, increase economic activity and improve living conditions.

Malawi: A US$20 million loan will co-finance the Shire Valley Transformation Program, Phase II, providing access to sustainable irrigation services and promoting the commercialization of agricultural production in the south of Malawi to the benefit of nearly 50,000 households and smallholder farmers. 

North Macedonia:  A €50 million loan will co-finance a Sustainability and Resilience Program for the implementation of policy reforms to promote climate action in the energy and financial sectors, strengthen the sustainability of public finances and safeguard the stability of the financial sector.

Paraguay: A US$50 million loan will co-finance the Rehabilitation, Upgrading and Maintenance of National Route PY22 (Concepción Vallemi-San Lazaro) and Access Roads Project. This will improve the connection between the Port of Vallemi and the city of Concepción, promoting regional integration and trade.

Senegal: A €38.03 million loan will co-finance the Cities Modernization Program, which will develop urban roads and improve social and economic infrastructure in the six cities Podor, Richard-Toll, Ourossogni, Mékké, Dahra and Kébémer.

Tajikistan: A US$10 million loan will co-finance the Guliston-Farkhor-Panj-Dusti Road Reconstruction Project (Phase 1) to improve the efficiency and quality of Tajikistan’s road network and to promote the country’s potential for international transit traffic.

Tanzania: A US$41 million loan will co-finance the Upgrading Kagwira-Karema Port Road Project (Kasekese-Karema section). The upgraded transport infrastructure will raise living standards in the Katavi region in the Western part of the country by unlocking economic opportunities in trade, agriculture, fisheries and tourism. 

Türkiye: A US$50 million loan to the Development and Investment Bank of Türkiye (TKYB) will co-finance a Food Security and Resilience Project providing immediate financial support to the agriculture and food production sectors, particularly in provinces affected by the February 6, 2023 earthquakes.

Private sector and trade finance operations: 
Armenia: A US$20 million loan to a bank in Armenia will support on-lending to micro, small and medium-sized enterprises, including women-owned enterprises and in-country climate projects.

Azerbaijan: A US$50 million loan to ACWA Power Wind Azerbaijan Renewable Energy will support the construction of a 240 MW Khizi-Absheron wind power plant, strengthening electricity supply, diversifying the energy-mix and reducing carbon emissions.

Bangladesh: A US$30 million loan to a local bank will support international trade by providing financing to import and export companies, especially in the agriculture and green energy sectors.

Nepal: A US$25 million loan to a local bank will increase access to finance for micro, small and medium-sized enterprises, including women-owned firms as well as climate-smart projects.

Uganda: A US$25 million loan to a power company will help construct a 42 MW run-of-river hydroelectric power plant.

Uzbekistan: A US$35 million loan to a local bank will support food security and climate action projects.

Regional Africa: A US$40 million participation in a trade finance facility will promote the international trade of agricultural products and benefit at least 600,000 small-holder farmers in sub-Saharan Africa.

About the OPEC Fund 

The OPEC Fund for International Development (the OPEC Fund) is the only globally mandated development institution that provides financing from member countries to non-member countries exclusively. The organization works in cooperation with developing country partners and the international development community to stimulate economic growth and social progress in low- and middle-income countries around the world. The OPEC Fund was established in 1976 with a distinct purpose: to drive development, strengthen communities and empower people. Our work is people-centered, focusing on financing projects that meet essential needs, such as food, energy, infrastructure, employment (particularly relating to MSMEs), clean water and sanitation, healthcare and education. To date, the OPEC Fund has committed more than US$24 billion to development projects in over 125 countries with an estimated total project cost of US$190 billion. The OPEC Fund is rated AA+/Outlook Stable by Fitch and AA, Outlook Positive by S&P. Our vision is a world where sustainable development is a reality for all.