- The West African Development Bank (BOAD) has pledged to devote $1.3 billion to green projects in its member states by 2025.
- By 2025, the financial institution hopes to create 380 MW of installed capacity in its member states.
The West African Development Bank (BOAD) considers financing climate change adaptation in its member states like Benin, Burkina, Ivory Coast, Guinea-Bissau, Mali, Niger, Senegal and Togo. The Lomé, Togo-based sub-regional financial organization has made a commitment to allocate 25% of its portfolio to green project finance by the year 2025, up from 10% from 2015 to 2019.
Thus, these eight nations will have access to USD 1.3 billion thanks to the BOAD. The funded structured adaption initiatives will include connections to the garbage, agricultural, energy, and eco-construction industries, among others.
Drought is one of the main ways climate change is seen in West Africa; the problem impacts agriculture, which uses 70 to 80% of all water supplies.
The BOAD will finance energy-related initiatives in part. By 2025, the financial institution hopes to create 380 MW of installed capacity in its member states by combining clean sources and interregional grid links. Less than 215 MW of this electricity will be generated via solar energy.
In addition to renewable energy production, the electrification projects will “strengthen the regulatory framework and the capacity of public institutions in the energy sector to attract large-scale private capital under IPP and PPP models”, says the AfDB.
Building more environmentally friendly cities with climate-resistant infrastructure in Benin, Burkina Faso, Ivory Coast, Guinea-Bissau, Mali, Niger, Senegal, and Togo will help the West African Economic and Monetary Union reduce emissions by around 18 million tons of CO2 equivalent (WAEMU).