African leaders want to tackle climate change with unprecedented World Bank funding

On Monday, leaders of Africa urged that affluent countries make unprecedented contributions to a World Bank facility for developing nations, which provides low-interest loans and is crucial for financing their development and combating climate change.

Donors will pledge money to the International Development Association (IDA), a World Bank entity that offers loans with long terms and low interest rates, during a meeting scheduled for December in Japan.

Kenyan President William Ruto remarked, “We call on our partners to meet us at this historic moment of solidarity and respond effectively by increasing their IDA contributions… to at least $120 billion,” during a meeting with the World Bank and other African leaders to discuss IDA finance.

Ruto also mentioned the pressing climate catastrophes that need for swift and coordinated action to save the world, as well as the rising debt and development crises that were endangering the economic stability of African economies.

He spoke of the horrible floods that had hit Kenya and the dreadful drought that had hit Malawi and other Southern African nations.

If contributors make the minimum contribution suggested by African leaders, it will surpass the $93 billion raised in the previous round of fundraising, setting a new record.

Prior to the IDA loan’s three-year term, donors frequently make contributions at an international conference.

The bulk of the 75 developing nations that get low-interest loans from IDA are in Africa, according to the World Bank.

The funds are used by governments to build essential infrastructure, such as roads, increase access to energy and healthcare, and invest in agriculture.

The World Bank’s president, Ajay Banga, pledged to streamline the IDA loan process, reduce “burdensome” regulations, and expedite the delivery of cash to borrower countries.

“We think a more focused deployment of a redesigned and simplified IDA can have a significant impact,” he stated.