OPEC Fund Quarterly - 2024 Q3

DEVELOPMENT NEWS

Expanding green energy in Uganda T he OPEC Fund is providing a US$25 million loan to help finance the construction of a 42 MW run-of-the-river hydroelectric plant in northern Uganda as well as new electricity transmission infrastructure. In addition to creating jobs, the project helps the government achieve its Nationally Determined Contributions, its commitments under the Paris Agreement, which will help reduce greenhouse gasses and mitigate climate change. The project also is in line with the OPEC Fund’s Climate Action Plan.

Strengthening education in Uzbekistan

Cooperation with the Islamic Development Bank and private sponsors boosts preschool education

T he OPEC Fund is extending a new US$20 million loan to support a key preschool education project by the government, setting up 200 preschools for almost 30,000 children across the Central Asian country. The project is co-financed by the Islamic Development Bank and private sponsors. The government’s goal is to achieve

universal preschool enrollment by 2030. OPEC Fund President Abdulhamid Alkhalifa said: “The development of a modern education system is crucial for future economic growth and building human capacity. We are proud to join the government’s efforts and support its ambitious aspirations to become an upper middle-income country by 2030.”

Photo: George_TheGiwi/Adobe Stock

Supporting small businesses in Nepal

Micro, small and medium-sized enterprises make up 95 percent of Nepal’s registered businesses.

T he OPEC Fund signed a US$25 million loan agreement with Global IME Bank Nepal to increase access to financing for micro, small and medium-sized enterprises (MSMEs), including women-owned enterprises. Additionally, the loan will enhance the bank’s climate finance portfolio, vital for Nepal’s efforts to mitigate climate change impacts, by promoting climate-smart projects. The loan will help address significant financing gaps for MSMEs, which make up

95 percent of Nepal’s registered businesses and account for 45 percent of all jobs. Despite their importance, MSMEs struggle to receive funds and the financing gap for these enterprises is estimated at US$3.6 billion.

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Photo: De Visu/Shutterstock

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