VIENNA

The third annual OPEC Fund Development Forum, a pivotal event for South-South cooperation, has wrapped up in Vienna, marking a significant step forward in addressing pressing global development issues. The forum, hosted by the OPEC Fund for International Development, brought together over 350 public and private sector partners to tackle challenges such as climate change, food security, and energy transition, while pushing for progress towards the 2030 Agenda for Sustainable Development.

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At the heart of the forum's success was the announcement of US$605 million in fresh financing approved by the OPEC Fund's Governing Board. This substantial commitment underscores the organisation's dedication to turning plans into actionable solutions for global development.

OPEC Fund President Abdulhamid Alkhalifa emphasised the importance of collaboration and innovation in addressing global challenges. "Our collective efforts at this Forum have laid the groundwork for impactful initiatives that will drive progress in addressing global challenges," Alkhalifa stated, highlighting the organisation's commitment to delivering effective solutions in partnership with member countries.

The forum saw a series of significant partnerships and initiatives launched, focusing on key areas of global concern. In the realm of food security and climate resilience, the OPEC Fund partnered with the United Nations World Food Programme (WFP) to establish the Food Security and Climate Adaptation Facility. This initiative aims to strengthen climate-resilient food systems in vulnerable regions, with an initial USD 3 million grant from the OPEC Fund and a goal to catalyse USD 500 million in investments by 2030.

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Additionally, a cooperation agreement was signed with the International Fund for Agricultural Development (IFAD) to expand their partnership, focusing on enhancing food security and climate resilience, with particular support for smallholder farmers.

Climate resilience and global energy transition were also at the forefront of discussions. The OPEC Fund provided a USD 200,000 grant to Sierra Leone for the establishment of a Climate Finance and Energy Innovation Hub, while also committing to earmark USD 250 million until 2030 for energy access, transition, and food security projects in the country.

A notable development was the three-way arrangement between the OPEC Fund, Saudi Arabia, and Somalia to reduce Somalia's debt burden and restart financing operations in the country. This transaction, aligned with the IMF and World Bank's Enhanced Heavily Indebted Poor Countries (HIPC) initiative, includes a USD 36 million loan approval and two grants totalling USD 6.06 million to support project implementation.

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The forum also saw strengthened commitments to Central Asia, with Country Partnership Framework agreements signed with Turkmenistan and Kazakhstan, outlining a five-year roadmap for cooperation in areas such as infrastructure development and energy transition. A Framework Financing Memorandum was also signed with Tajikistan for USD 100 million in support to co-finance the Rogun Hydropower Plant Project.

Private sector mobilisation for development was another key focus, with the OPEC Fund signing a USD 25 million loan agreement with Nepal's Global IME Bank to increase access to finance for micro, small and medium-sized enterprises, including women-owned businesses and climate-smart projects.

The forum also marked the 25th anniversary of the OPEC Fund's private sector operations, which have contributed to development impact in more than 70 countries globally through over 600 projects and a total commitment exceeding USD 10.5 billion.