- France and Germany have signed loan agreements with South Africa.
- The signing represents a significant milestone in the implementation of JETP.
South Africa, France and Germany have signed loan agreements for the two European nations to each extend €300 million in concessional financing to South Africa to support the country’s efforts to reduce its reliance on coal through a just transition to cleaner energy sources. This was on Wednesday confirmed by National Treasury.
Treasury said the French and German public development banks, AFD and KfW, have provided the loans directly to the South African government via National Treasury.
The financing agreements were acknowledged and welcomed by President Cyril Ramaphosa, French President Emmanuel Macron, and Olaf Scholz, the Federal Chancellor of the Federal Republic of Germany, at a ceremony held during the 27th United Nations Climate Change Conference (COP27), currently taking place in Sharm El Sheikh, Egypt.
Treasury said the signing represents a significant milestone in implementing the Just Energy Transition Partnership (JETP) announced at COP26 in November last year.