23 African leaders set the target in a joint post-summit statement according to the World Bank. Executives are seeking $ 100 billion for a World Bank pivot fund that provides assistance to countries with the lowest incomes, as the COVID-19 pandemic continues to increase financial pressures on economies.
IDA is one of the most important sources of funding to fight extreme poverty in the world’s lowest income countries and Africa is the continent with the most beneficiaries with 39 countries on the list.
In April, the bank accelerated its process for the twentieth replenishment of the International Development Association, also known as IDA, after the fund provided massive aid to help countries cope with the COVID pandemic -19.
“Much remains to be done to overcome this crisis which, as we see these days, is global with several cycles. Indeed, less than 3% of the total population of Africa received a first dose of vaccines, compared to around 54% in the United States and the EU. said Ivorian President Allassane Ouattara.
Ouattara noted that the $ 100 billion “would be the largest amount raised in IDA history.” The previous one was $ 82 billion.
AU Commission Chairman Moussa Faki echoed the importance of debt restructuring. “We will never tire of calling for an urgent debt restructuring accompanied by a bold policy that goes beyond special rights to alleviate the urgent need for immediate money for vaccine purchases and to lay the groundwork for ‘an economic recovery.” said Faki.
World Bank says African countries are grappling with the devastating impacts of the COVID-19 pandemic, continued support, especially from IDA, is essential to help them meet their financing needs,
The bank aims to complete this round of recapitalization by December.
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