The Organization of Petroleum Exporting Countries (OPEC) Fund for International Development allocated $1.7 billion to support 55 projects in 2023, with nearly 60% of the financing directed towards renewable energy initiatives. These investments, aligned with the institution’s Climate Action Plan, aimed to address pressing issues such as climate change, social and economic resilience, and sustainable growth.
Among the notable projects supported were a $25 million solar plant in Niger, a $50 million 240-megawatt wind farm in Azerbaijan, and two wind power plants in Uzbekistan, totaling 1 gigawatt of renewable energy capacity. These investments contributed to enhancing energy security in various countries, aligning with Sustainable Development Goal 7 for clean and affordable energy access.
Abdulhamid Al-Khalifa, the director general of the OPEC Fund, highlighted the institution’s success in increasing its impact despite a challenging global environment. He emphasized the importance of partnerships with multilateral development banks and institutions in mobilizing development support, aiming to commit 40% of all new financing to climate action by 2030.
In terms of regional distribution, Africa received the largest share of investments at 42%, followed by the Middle East, North Africa, Europe, and Central Asia at 20%, and Latin America and the Caribbean also at 20%. Asia and the Pacific received 18% of the investments.
The OPEC Fund utilized a mix of public and private sector lending, trade finance, and grant operations. Policy-based loans constituted 31% of the total lending program, with the transport and storage sector emerging as a key recipient of support, claiming the largest share at 14%.
