UAE pledges to invest $4.5bn to support deployment of clean energy in Africa
UAE has unveiled an initiative that will provide $4.5bn to help tap Africa’s clean energy potential amid increasing negative impacts of the climate change on the continent.
COP28 President-Designate Sultan Al Jaber made the announcement during his keynote address at the inaugural African Climate Summit in Nairobi, Kenya. The initiative will bring together public, private, and development capital from UAE institutions, ranging from Abu Dhabi Fund for Development (ADFD) and Etihad Credit Insurance (ECI) to Masdar and AMEA Power.
Africa50, which is an investment platform established by African governments and the Africa Development Bank also joins the initiative.
“This initiative builds on the UAE’s track record of commercially driven, innovative blended finance solutions that can be deployed to promote the adoption of clean energy in emerging and developing nations. This multi-stakeholder partnership approach is designed to accelerate sustainable economic progress, address the challenge of climate change, and stimulate low carbon growth,” Al Jaber explained.
The African continent is responsible for only a fraction of global greenhouse gas emissions, however, it is suffering disproportionately from climate change. The World Meteorological Organization (WMO) in a report argues that more than 110 million people on the continent were directly affected by weather, climate and water-related hazards in 2022, causing more than $8.5 billion in economic damage.
The continent recorded 5,000 fatalities, of which 48% were associated with drought and 43% were associated with flooding, Emergency Event Database notes.