On the sidelines of the 27th United Nations Conference on Climate Change (COP27), the West African Development Bank (BOAD) is committed to increasing its portfolio dedicated to green financing. Thus, the institution based in Lomé (Togo) intends to devote 25% of its portfolio to the financing of green projects until 2025, against 10% over the period from 2015 to 2019.
Within 3 years, the sub-regional bank announces that it will allocate 1.3 billion USD to its 8 member countries (Benin, Burkina Faso, Côte d’Ivoire, Guinea-Bissau, Mali, Niger, Senegal and Togo) . This amount will be intended to finance projects in the agriculture and energy sectors, among others.
The financial institution has indicated that part of the financing will be devoted to energy projects, particularly renewable energies. With this in mind, BOAD aims to develop a capacity of 380 MW including 215 MW of solar energy intended to strengthen the energy park of member countries.
In addition, the bank also intends to strengthen the regulatory framework and help public institutions operating in the energy sector in order to attract major investors in the field who can develop Independent Power Project (IPP) and Public-Private Partnership models. (PPP).
In addition to electricity generation, the institution wants to encourage the construction of more sustainable cities with climate-resilient infrastructure in member countries. She hopes that this new approach will make it possible to avoid the emission of 18 million tonnes of CO2 equivalent within the West African Economic and Monetary Union (UEMOA).
Founded in 1973, BOAD’s main mission is to promote the balanced development of member states and achieve the economic integration of West Africa by financing priority development projects.