- OFID Annual Report highlights ongoing commitment to development
OFID Annual Report highlights ongoing commitment to development
Vienna, Austria, June 12, 2014. In 2013, the OPEC Fund for International Development (OFID) committed US$1.5 billion in much-needed development financing to help boost socio-economic progress in its partner countries. These and other figures are published in OFID’s 2103 Annual Report, which details activities by sector, geographical region and financial mechanism. Download PDFs of the 2013 Annual Report in English, Arabic, French and Spanish
In his Foreword to the Report, Director-General Suleiman J Al-Herbish notes that Energy for the Poor continued to dominate OFID’s agenda throughout 2013, both at an operational and an advocacy level. “Our consistent message…is that solutions to energy poverty need to be implemented now, drawing on all available sources, be they traditional or renewable, and taking into consideration the wider water–food–energy nexus,” he states. On the nexus, he says: “We are convinced that these three areas together hold the key to a sustainable and equitable future for our planet and its people … and that they must be addressed using a holistic, integrated approach.”
As in previous years, the sectoral profile of operations in 2013 reflected the strategic priorities of Partner Countries. The water–food–energy nexus drew almost 40% of all commitments, while energy projects accounted for one-quarter of total approvals (US$384.9m). Behind energy came the financial sector with a record US$332m in approvals. Other sectors included: Transportation (US$249.2m), multi-sectoral (US$241.9m) and water supply and sanitation (US$173.9m), as well as agriculture (US$39.5m), telecommunications (US$39m), education (US$35.8m), health (US$26.9m) and industry (US$12m).
In keeping with OFID’s mandate to focus on the most underprivileged nations, US$557.5m (36%) of 2013 commitments went to the Africa region. In Asia, 27 countries shared US$359.8m, and in the Latin America and Caribbean region 16 countries attracted some US$313.9m. In Emerging Europe, two countries shared US$102.2m.
As the central pillar of OFID’s activities, Public Sector Lending accounted for US$804.2m (52.3%) of approvals in 2013. The biggest share (43.8%) went to Africa, followed by Latin America and the Caribbean (25.2%), Asia (18.3%) and Europe (12.7%). Together, energy, transportation and water and sanitation secured over 85% of all Public Sector commitments. Some US$227m supported Trade Finance Operations which will support the import and export funding needs of small- and medium-sized enterprises in partner countries, including Mongolia and Papua New Guinea, both of them new markets for OFID’s Trade Finance Facility. Private Sector approvals amounted to US$281m, the majority (US$130m) taken by energy projects. Private sector operations were initiated in two new partner countries: Mozambique and Rwanda. Resources committed under OFID’s Grant Program reached US$24.9m for a wide variety of grassroots initiatives, including interventions in Palestine and against HIV/AIDS.