Sub-regional multilateral dev’t banks urged to scale up financing for Africa
Addis Ababa, March 16, 2025 (FMC) – Deputy Executive Secretary of ECA (UN Economic Commission for Africa) Hanan Morsy has underscored the critical role of sub-regional multilateral development banks (MDBs) in bridging Africa’s financing gap and addressing structural barriers to economic growth.
A high-level panel discussion on the role of sub-regional multilateral development banks in advancing Africa’s development objectives held on the sidelines of the 57th Session of the ECA COM2025.
The event, convened on Saturday under the theme “The Role of Sub-Regional Multilateral Development Banks in Delivering on Africa’s Development Objectives,” brought together policymakers, economists, and financial leaders.
Accordingly, the event held with the target to assess how multilateral development banks can enhance their capacity to mobilize resources, attract private sector investment, and strengthen their contribution to regional integration and economic transformation.
During the discussion, Morsy emphasized that multilateral development banks must be empowered to mobilize long-term resources and provide more affordable financing to African economies, particularly in light of the tightening global financial conditions and declining flows of development assistance.
She further highlighted the need for reforming the global financial architecture to create a more equitable system that allows African multilateral development banks to access financing on favorable terms.
Discussions also focused on the potential of Special Drawing Rights (SDRs) reallocation as a means of strengthening multilateral development banks’ capital base and expanding concessional lending to African countries.
A key aspect of the discussions was the role of multilateral development banks in supporting Africa’s integration agenda, particularly through the implementation of the African Continental Free Trade Area (AfCFTA).
The panelists also discussed the need for greater alignment between multilateral development banks and continental development priorities, including Agenda 2063 and the 2030 Agenda for Sustainable Development.
They emphasized that multilateral development banks must adopt more agile financing mechanisms and strengthen their partnerships with global development finance institutions to ensure sustainable and inclusive growth across the region.
The session featured interventions from Hanan Morsy, Chief Economist and Deputy Executive Secretary of ECA; Admassu Tadesse, President and CEO of the Trade and Development Bank; and Fatima Elsheikh, Secretary General of the Arab Bank for Economic Development in Africa (BADEA).
