Luxembourg and African Development Bank Strengthen Ties to Boost Africa’s Sustainable Growth

Luxembourg and the African Development Bank (AfDB) have reaffirmed their commitment to deepening cooperation for Africa’s sustainable and inclusive development, as preparations advance for the seventeenth replenishment of the African Development Fund (ADF-17) — the Bank’s concessional financing window.

The meeting took place on the sidelines of the 2025 World Bank and IMF Annual Meetings in Washington, D.C., marking the first official bilateral discussion between Luxembourg’s Finance Minister Gilles Roth and AfDB President Dr. Sidi Ould Tah since the latter took office in September. Both leaders emphasized the importance of multilateral partnerships in driving Africa’s economic transformation.

Luxembourg continues to stand out as a leading contributor to global development aid, consistently allocating 1% of its gross national income — surpassing the UN and OECD target of 0.7%. Under ADF-16, Luxembourg’s €12.7 million contribution represented a 10% increase over the previous cycle, reflecting its confidence in the Fund’s role in climate action, governance, gender equality, and private sector growth.

Minister Gilles Roth underlined Luxembourg’s goal to channel private capital toward Africa’s key sectors — education, energy, technology, infrastructure, and climate resilience — leveraging its expertise in sustainable finance and impact investing. “We will continue working alongside the African Development Bank to strengthen Africa’s investment environment and build a more equitable, resilient, and sustainable future,” he said.

Dr. Sidi Ould Tah praised Luxembourg as a “steadfast partner” and highlighted its leadership in sustainable finance. He noted that Luxembourg’s continued partnership would be crucial for mobilising resources during the ADF-17 pledging session in December, aimed at advancing resilience, inclusion, and shared prosperity across Africa.

Beyond concessional funding, Luxembourg also supports the Bank’s Capital Markets Development Trust Fund and the Africa Digital Financial Inclusion Facility, both designed to promote financial innovation, broaden access to markets, and strengthen private investment ecosystems.

Since its establishment in 1972, the African Development Fund has financed nearly 3,000 projects worth over $45 billion, improving access to clean energy, education, healthcare, and food across 37 African nations, including many fragile states.

Through ADF-17, both partners aim to mobilise new resources to drive job creation, economic resilience, and sustainable growth, reinforcing Luxembourg’s commitment to a prosperous and stable Africa that benefits the global community.
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