President William Ruto of Kenya has spearheaded a call for increased concessional funding from the World Bank’s International Development Association (IDA) during the IDA21 Summit for African Heads of State. President Ruto urged for a tripling of IDA’s financing capacity to $279 billion by 2030 to provide relief for African and other developing nations facing severe debt crises.
Speaking at the summit in Nairobi, President Ruto emphasized the importance of long-term concessional financing in combating climate change, transitioning to a low-carbon economy, and funding essential sectors like education and health. He highlighted the need for significant capital injection into IDA to unlock Africa’s vast resources and drive socio-economic development.
The summit was attended by several African leaders including Presidents Museveni, Suluhu, Akufo-Addo, Chakwera, and Prime Ministers Abiy and Barh, as well as the President of the World Bank Group, Ajay Banga. President Ruto stressed the importance of access to affordable, long-term capital to unlock Africa’s green energy resources and drive industrialization.
President Ruto urged African leaders to improve fiscal discipline, increase domestic revenue mobilization, and enhance anti-corruption measures to support Africa’s development needs. President Akufo-Addo of Ghana echoed the sentiment, emphasizing the need to mobilize finance and investment to achieve sustainable development goals.
The call for increased funding for IDA aims to address the challenges faced by African countries in the current global economic system and support their economic transformation. President Suluhu of Tanzania emphasized the importance of concessional loans in enhancing Africa’s development financing. The leaders agreed that boosting IDA’s resources is crucial for Africa’s development and economic growth.