The African Finance Corporation (AFC) and the Green Climate Fund (GCF) have launched the African Sovereign Climate Mechanism (ASCM), which provides $690 million to several countries, including Angola.
According to the statement, the total funding of $690 million (equivalent to 616 million euros) is intended to assist African states in countering the growing impact of climate change while promoting the realization of their economic development priorities.
Participants in the project emphasized that this represents a significant step in expanding climate finance and accelerating low-carbon and climate-resilient development across Africa.
The program will support governments in integrating climate aspects into national development planning and in accelerating the implementation of their Nationally Determined Contributions (NDCs). Initially, the focus will be on Angola, Benin, Côte d'Ivoire, and Nigeria—countries facing significant climate vulnerability, infrastructure deficits, and rising greenhouse gas emissions.
Samaila Zoubayru, President and CEO of AFC, noted in the statement that 'the infrastructure we build today must stimulate Africa's growth while simultaneously withstanding the climate pressures of the future.'
Through this partnership with GCF, AFC combines concessional financing with AFC's expertise in project development and its capital to help governments transform national priorities into reliable energy, more resilient food and water systems, and climate-resilient infrastructure.
AFC is organizing and fully financing a parallel commercial credit line with a maximum amount of $260 million (232 million euros) with a term of up to 10 years, which will be available to Angola, Benin, Côte d'Ivoire, and Nigeria.
The goal of this line is to complement the concessional climate financing, increase the available capital to support relevant investments, and simultaneously assist participating governments in incorporating climate resilience and low-carbon development into their national planning.
AFC reminds that Africa remains particularly vulnerable to the effects of climate change, including rising temperatures, increasingly unpredictable rainfall, and an increase in extreme weather events, which threatens livelihoods, food and water security, infrastructure, and economic productivity.
Furthermore, the institution points out that rapid demographic growth and urbanization create additional pressure on public services and infrastructure systems.
