Global financiers sustain action on COVID-19 effects

Multilateral development finance institutions have pledged to continue collaborations to mitigate the adverse impact of the COVID-19 pandemic and accelerate the recovery of economies and livelihoods.

They stated this at an extraordinary virtual meeting to discuss the impact of their responses to the pandemic and the worsening debt situation.

• Bauchi artisans, commercial drivers to benefit from FG COVID-19 grants
• We lost 16 doctors to COVID-19, NMA says

The meeting, chaired by Hajjar Bandar, President of the Islamic Development Bank Group, was attended by the heads of 12 Multilateral Development Banks (MDBs).

Bandar said the collaboration by the MDBs had proven meaningful in their efforts to swiftly provide crucial financial relief to member countries in the wake of the pandemic.

“In the face of this unprecedented crisis, we have shown our responsibility and unity…The total package has already started disbursing and it is bearing fruits,” Bandar said.

The joint effort of the MDBs has seen a COVID-19 response envelope of about $230 billion. In addition, the IMF has provided financing to 81 member countries totaling over $100bn since mid-March, with further room for member countries to tap into its $1 trillion lending capacity through programme arrangements.

“This forum is where partnerships make a difference. We need to join forces to support our member countries better.”

President of the African Development Bank Group, Akinwumi Adesina, said collaboration among development partners has become more vital.

“We are really…in very extraordinary times. There’s no doubt about it, in terms of the devastation that this pandemic is causing. The challenge is huge and the collective resolve must be strong as MDBs.

“It’s time for us to change the paradigm to get the private sector, with incentives, to do a lot of private-public partnerships,” Adesina said, restating the Bank’s commitment to helping Africa rebuild boldly and smartly.

AfDB introduced a COVID-19 Response Facility (CRF) of up to $10bn to support regional member countries and private sector clients in their efforts to address the impacts of the COVID-19 pandemic.