The Africa Development Bank (AfDB), in collaboration with the Global Center on Adaptation (GCA), has unveiled a substantial commitment of Sh145.5 billion ($1 billion) aimed at supporting youth-led startups across the continent. This initiative represents a vital step in the ongoing battle against climate change.
AfDB shared the news on its social media platform, X (formerly Twitter), emphasizing that the funding is intended to empower and bolster youth-led businesses in Africa. In a statement, AfDB Group and GCA jointly announced the launch of this initiative, highlighting its potential to foster economic growth across the continent.
GCA, an international organization dedicated to accelerating climate change solutions, is partnering with AfDB on this endeavor.
During the Africa Youth Climate Assembly, AfDB’s president, Akinwumi Adesina, emphasized the critical importance of investing in Africa’s youth for fostering growth and stability. Adesina noted, “The biggest risk is not investing in the youth,” emphasizing the need for investment rather than just empowerment.
Adesina also stressed the importance of African nations voluntarily adopting climate-friendly practices, emphasizing the intrinsic value of such actions.
AfDB is set to expand its existing $4 million investment into the YouthADAPT program, a collaborative effort with GCA. This program, an annual competition and awards scheme, aims to stimulate sustainable job creation by supporting entrepreneurship and youth-led innovation in climate change.
Entrepreneurs and Micro, Small, and Medium-sized Enterprises (MSMEs) in Africa are invited to submit innovative solutions and business ideas that can drive climate change adaptation and resilience.
In addition to supporting the YouthADAPT program, AfDB is actively backing the Africa Adaptation Acceleration Programme as part of its partnership with GCA. The organization also called for a reevaluation of the global financial architecture to prioritize Africa’s needs and urged delegates to mobilize resources for climate financing.
Despite accounting for only four percent of global greenhouse gas emissions, Africa bears a disproportionate burden from climate change, posing a significant threat to human well-being and development on the continent. Many African countries rely heavily on climate-vulnerable sectors like energy, tourism, water resources, and agriculture for their economic sustenance and growth.
President William Ruto urged delegates and world leaders to treat Africa as an equal partner in the fight against climate change, recognizing the dire implications of climate change on sustainable development, especially among the poorest and most vulnerable countries that have contributed the least to greenhouse gas emissions.
AfDB has significantly increased its climate-informed project designs, rising from 77 percent in 2016 to an impressive 94 percent in 2022. Its climate finance investments have also seen a notable increase, reaching $3.6 billion in 2022, with a focus on adaptation efforts. This highlights the bank’s commitment to addressing climate change and supporting Africa’s sustainable development.
Photo Source: Google
6th September,2023
By: Delino Gayweh
Serrari Financial Analyst
