OPEC Fund delivers record results in 2023 with USD 1.7 bn in development funding

OPEC Fund delivers record results in 2023 with USD 1.7 bn in development funding

The OPEC Fund for International Development, a multilateral development finance institution headquartered in Vienna, Austria, achieved significant milestones in 2023. The organization, established 48 years ago, expanded its new commitments to USD 1.7 billion across 55 projects globally.

Funding Priorities

The funds were allocated to address several crucial areas, including:

  1. Climate Change and Energy Transition
  2. Social and Economic Resilience
  3. Sustainable Growth

Record Commitments

The 2023 results mark a historic high in new commitments, showcasing the organization’s commitment to global development.

Director-General’s Statement

Abdulhamid Alkhalifa, the Director-General of OPEC Fund, expressed the organization’s achievements in a challenging global environment. He highlighted the expansion of the lending program in response to partner countries’ demands and successful fundraising from the capital markets.

Financial Leveraging and Partnerships

OPEC Fund leveraged partnerships with multilateral development banks and institutions like the Arab Coordination Group. These collaborations facilitated the mobilization of development support. The organization is progressing well towards its 2030 target of committing 40% of new financing to climate action.

Regional Distribution of Investments (2023)

  1. Africa: 42%
  2. Middle East, North Africa & Europe, and Central Asia: 20%
  3. Latin America and the Caribbean: 20%
  4. Asia and the Pacific: 18%

Lending Program Composition

  1. Policy-Based Lending: 31%
  2. Transport and Storage Sector: 14%
  3. Renewable Energy Projects: Nearly 60% of lending in the energy sector.

Multiple-Choice Questions (MCQs) with Answers

  1. What is the total amount of OPEC Fund’s new commitments in 2023?
    • A) USD 1.5 billion
    • B) USD 1.7 billion
    • C) USD 2 billion
    • D) USD 2.5 billion
    Answer: B) USD 1.7 billion
  2. What percentage of OPEC Fund’s investments in 2023 was allocated to Africa?
    • A) 35%
    • B) 42%
    • C) 18%
    • D) 20%
    Answer: B) 42%
  3. Which sector received the largest share of OPEC Fund’s support in 2023?
    • A) Social and Economic Resilience
    • B) Renewable Energy
    • C) Transport and Storage
    • D) Sustainable Growth
    Answer: C) Transport and Storage Sector
  4. What is OPEC Fund’s 2030 target regarding financing for climate action?
    • A) 20%
    • B) 30%
    • C) 40%
    • D) 50%
    Answer: C) 40%