Africa calls for $100 billion IDA funds to help boost its economy

Heads of State and Government from some 15 African countries attended the 20th replenishment meeting of the International Development Association, commonly known as IDA-20.

This year, the African heads of state have called for an ambitious replenishment of the ida-20, at least $100 billion, to support their recovery agenda and help revive their economies, which have been severely affected by the Covid-19.

This World Bank fund aims to provide grants, loans and subsidies at zero or low interest to poor or developing countries to stimulate their economic growth. More than half of the IDA recipient nations are in Africa.

Heads of state from Senegal, Niger, Madagascar, Rwanda and many others gathered in person, and a handful by videoconference, at the Hotel Ivoire Convention Center, at the invitation of President Alassane Ouattara and the World Bank.

The meeting ended with a joint announcement by the leaders present, dubbed the “Abidjan Declaration”, in which they called for an increase in the IDA-20 fund from $82 billion to $100 billion over the next three years.

This summit to appeal to donors to build up the IDA-20 funds was supposed to be held next year, but it was brought forward due to the urgency of the health situation, which has caused the first economic recession in Africa in 25 years.

For Axel van Trotsenburg, Managing Director of Operations at the World Bank, the top priority is to provide the continent with 400 million doses of Covid vaccine before the end of the year.

The Managing Director of Operations at the World Bank, and the Managing Director of the International Finance Corporation (IFC), Maktar Diop, reaffirmed their commitment to support Africa by mobilizing the resources needed to revive the continent’s economies.

According to Mr. Trotsenburg, the needs of the 80 IDA member countries for the next three years are estimated at $700 billion, of which 70% for the African continent.