It is an honor to represent the United States of America at the 60th Annual Meeting of the African Development Bank in Nairobi, Kenya. Kenya has been an exemplary host and it is always a great pleasure to visit this dynamic country that represents the vibrancy and beauty of the continent, especially on the heels of the successful State Visit of H.E. President William Ruto to Washington, DC.
The United States warmly congratulates the African Development Bank on 60 remarkable years of operation. These years have been filled with accomplishments and triumphs, and strong partnerships between regional and non-regional shareholders, and between shareholders and Management. The United States is proud to stand together with AfDB and our fellow shareholders in support of a prosperous, inclusive, resilient, and integrated Africa.
The United States’ commitment to the African Development Bank is rooted in our shared development agenda. It is an agenda that strives for economic development in Africa that is inclusive and sustainable, lifting people out of poverty and into the middle class. It treats all people as equal, fights discrimination, supports those who are most vulnerable, values natural resources and biodiversity, and enables African youth to look forward with confidence. High-quality jobs and sustainable economic development have the potential to transform economies and change lives.
While the United States joined AfDB in 1983, we joined the African Development Fund even earlier in 1976. As the largest historical donor to AfDF replenishments, we are proud that the 16th replenishment is now in implementation with an increased U.S. contribution of $426 million supporting AfDF countries. We congratulate AfDF on more than 50 years of achievements including work in countries affected by fragility, conflict, violence; investment in regional infrastructure; bolstering debt management capacity; stimulating attention to climate impacts on development—all important focus areas under AfDF-16.
In AfDB’s 60 years, Africa's population has nearly quadrupled. As Secretary Yellen has said: “...we believe that Africa will shape the future of the global economy.” This reflects the Biden-Harris Administration’s commitment to being a steadfast supporter to Africa's people, businesses, and governments. For us, AfDB is vital for helping Africa realize its potential in the global economy.
Recent external shocks from climate change pandemics epidemics fragility conflict political shocks threats from terrorist insurgent groups across Sahel have taken lives derailed economic growth stability depleted human capital reversed hard-won development gains exacerbated debt sustainability risks diminished options access external financing undermining productive investments underscoring importance timely debt relief official bilateral commercial creditors committed working together creditors debtors international financial institutions finalize outstanding debt treatments quickly improve efficiency timeliness debt restructuring process call all financing partners take steps sustain net positive flows African other developing countries pursuing responsible macroeconomic sectoral policies prioritizing high ambition respect accelerating progress Sustainable Development Goals
The increase in frequency complexity global regional challenges including climate change pandemics health security fragility conflict their link development outcomes Africa why United States believes important multilateral development banks evolve better address those challenges Treasury Secretary Yellen our AfDB AfDF Governor called multilateral development banks evolve vision operating models incentives financial capacity better reflect changing needs pressing realities 21st century
We know change hard welcome AfDB creative mindset capacity reflect evolve recently approved Ten Year Strategy sets stage further steps evolution including increased focus global regional public goods help respond African leaders request more support responding those challenges Through enhanced focus embodied new Ten-Year Strategy Bank Group sustainably effectively address food security energy access climate adaptation develop quality resilient infrastructure encourage deepen efforts mobilize private capital align institutional incentives deliver against new Strategy continue innovative leadership responsibly stretch balance sheet implements new Strategy
AfDB important role building knowledge interaction between global challenges country development needs establishing incentives staff borrowing countries take factors account developing financing priorities shaping improves capacity deliver outcomes include re-orienting operations bring relevant global challenges into country engagement results frameworks expanding operations include support sub-national supra-national entities increased use country platforms diverse effective outcome-oriented partnerships
Leveraging resources highly innovative forward thinking leader balance sheet optimization G20 MDB Capital Adequacy Framework recommendations remain relevant valid commend efforts pursing recommendations congratulate first MDB issue hybrid capital encourage others follow lead attract new investors help deliver additional resources member countries pleased peers working together shareholders demonstrate relevance power callable capital recognizes importance protecting AAA-rating strongly support request increased callable capital lending volumes maintained preserving protecting credit rating encourage continue work earn own stand-alone rating
Significant financing needs continent however public funds alone never enough key element MDB evolution using resources – financing expertise policy engagement – effectively unlock investments private sector call find new ways bring private finance coordination other partners require innovative ways crowd private finance providing data performance investments Global Emerging Markets Risk database necessitate supporting strengthen investment climates promote domestic resource mobilization build local capital markets
In closing highlight several specific items encourage Governors Board members Bank Group Management alike keep mind wish underline importance place supporting ability feed itself Secretary Yellen challenged address global food crisis IFI Action Plan Address Food Security yielded multi-year commitments exceeding $47 billion demonstrated value long-term cohesive approach among appreciate role engagement effort proud partnered variety fora year shine light critical issue note importance doing protect most vulnerable means protecting women girls sexual minorities exploitation abuse harassment gender-based violence deserve benefit without fear violence reprisals seek make inclusivity cornerstone all operations rooted selectivity strategy re-iterated continued demand selectivity best use finite maximize impact must relentlessly focus where can deliver comparative advantage through core operations await work consultants assessing independence accountability mechanisms under Board-led review critical work best-in-class set independent accountability functions underpin effective impact delivery Governors continue seeking receive strong report helps measures needed achieve sustain vision functions insist robust implementation Strengthening Social Environmental Safeguards Action Plan New Integrated Safeguard System approved April 2023 absent adequate staff well-trained empowered staff ISS not deliver intended impact strong safeguards system supports workers’ safety improves stakeholder engagement protects vulnerable groups mitigating risks credibility projects mandate depends strong safeguards
60th anniversary important milestone right moment reflect celebrate warmly thank tireless work commitment deep passion member countries Of course far from done must not lose momentum delivering quality outcomes strengthening evolving finding solutions preparing challenges tomorrow people planet counting on us
