Impact beyond agriculture The OPEC Fund is closely collaborating with its partner countries and coordinating with the development community to finance sustainable long- term solutions to the question of food production and agricultural value chains. However, the overall development impact of the financed projects is not limited to agriculture alone, but also acts as a catalyst for growth, overall economic development and jobs creation. For example, the OPEC Fund recently
approved a US$60 million loan for the Northern Agro-Industrial Pole Project (2 PAI-Nord) in Côte d’Ivoire to finance the development of high-potential geographical areas, so-called agricultural growth poles or Agropoles. “The project is fully in line with the country’s National Development Plan 2021-2025, which aims to achieve the structural transformation of the agriculture sector by developing nine agro-industrial poles”, explains Omar Al-Khadi, OPEC Fund Senior Country Manager, West and Central Africa. “This demonstrates the importance of the agriculture development strategy for the medium and long term. 2 PAI Nord is the second agri-industrial project developed in the country." Agriculture is the primary source of
livelihood for two-thirds of households in Côte d’Ivoire, accounting for more than 20 percent of GDP. The sector also provides jobs for over 5 million people. Even though Côte d’Ivoire is the world’s leading producer of cocoa and a major exporter of raw cashew nuts, the processing of agricultural products remains negligible and the country depends on agricultural imports rather
[Our support] will increase Côte d’Ivoire’s food security, but also reduce its dependence on food imports and
increase exports.
Omar Al-Khadi, OPEC Fund Senior Country Manager, West and Central Africa
than realizing its tremendous export potential. The “2PAI-Nord” project is designed to demonstrate that alternative approaches are possible – and viable. Financed jointly by the OPEC Fund and the African Development Bank, the project aims to increase private investment, particularly in processing agricultural products like rice, meat and fish, cashews, mango and shea, and facilitate farmers’ access to markets. “We support multiple sectors and economic growth through agriculture. This will increase Côte d’Ivoire’s food security, but also reduce its dependence on food imports and increase exports, utilizing the country’s competitive advantage. The project will also prioritize women and youth as beneficiaries”, Al-Kadhi says.
Room for better harmonization When the challenges are so numerous and the available resources so diversified, effective partnerships play a crucial role in mobilizing coordinated development assistance. The OPEC Fund’s strategy is country-focused and based on building strong partnerships. The Fund closely cooperates with governments as well as with the development community and the private sector. In addition to co-financing projects with other multilateral development banks such as the World Bank, African Development Bank, Islamic Development Bank and others, the OPEC Fund enjoys strong ties with specialized United Nations agencies including FAO and the International Fund for Agricultural Development (IFAD). In fact, it was OPEC member countries
that provided a significant portion of the funding needed to establish IFAD back in 1976, channeling US$861 million in pledged contributions through the OPEC Fund towards the agency’s initial capital stock and first replenishment. Ever since, IFAD and the OPEC Fund
have been working together as key partners in the battle against rural poverty and hunger. To date, the two institutions have collaborated in more than 100 projects. “Our partnership is an outstanding example of successful cooperation. The OPEC Fund generally supports rural infrastructure, while IFAD
ILLUSTRATIONS: yuRomanovich/
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