FOREWORD BY DIRECTOR-GENERAL DR. ABDULHAMID ALKHALIFA


Dear reader,


Thank you for your interest in the work of the OPEC Fund for International Development. Our 2021 Annual Report will provide you with an overview of how our institution com- bined long-term commitment to support the delivery of the SDGs with responding to the COVID-19 emergency in a year when extreme weather events sent sharp warnings that the energy transition cannot tolerate any further delay.


The OPEC Fund responded to these challenges with a strong performance of US$1.5 billion in new commitments through 47 projects. Our engagements served to strengthen economic resilience, finance investments in critical infrastructure and bolster human capacity. The fact that our COVID-19 facility was fully utilized by the end of the year demonstrated the agility and responsiveness of our i nstitution. We are small but efficient.


Our robust performance in 2021 was built on several key components: The efforts of our resourceful and resilient staff, the benefits our institution is increasingly reaping from the implementation of the Strategic Framework 2030, of which Phase I has now successfully been concluded, and the OPEC Fund’s strong fundamentals.


This was also recognized by two of the world’s leading rating agencies, Fitch and S&P, which in 2021 provided inau- gural ratings of the OPEC Fund’s financials. Fitch awarded a rating of AA+/stable outlook, emphasizing our “excellent capitalization,” while S&P assigned a rating of AA/positive outlook and underlined the OPEC Fund’s “strong funding and liquidity positions.”


The ratings marked the achievement of a milestone with our strategy to further strengthen the OPEC Fund’s financial sustainability by expanding and diversifying our funding sources. Our goal is to better respond to partner countries and clients’ needs by becoming a more efficient, effective and innovative partner to low and middle income countries


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around the world, which will help us grow our development assets.


We are doing this not as an end in itself but because global development needs are huge and demand for support is high. “From billions to trillions” is not an empty phrase, but the expression of pure necessity. Never has this been more pressing than at a time when the COVID-19 pandemic requires the deployment of unprecedented – and not just financial – resources. Even if the crisis is about to evolve from the pandemic to the endemic phase in societies with the highest vaccination rates, the gaps that the developing world is facing remain enormous and will require additional help.


However, we are confident that with joint efforts, hu- man ingenuity and global solidarity we will overcome the pandemic. The same approach – and even larger amounts – are needed to deliver the energy transition, arguably the biggest challenge of our lifetime. We are fully aware that we need to do more and we all need to do it better and faster to achieve the targets of the Paris Agreement. At the same time, we also must secure energy access for all.


The OPEC Fund supports an energy transition that works for everyone – countries, industries and households. A transition that creates sustainable generation of energy, secures affordable access and is just by equitably distrib- uting the costs and benefits of climate action. This requires an approach that combines binding global targets with country-specific strategies taking into account individual needs and capabilities. While the OPEC Fund encourages those who can to go ahead further and faster, we pledge a helping hand to those who need support.


This is in line with our mission, and is also my vision as head of the OPEC Fund, an institution that is dedicated to South-South cooperation and demonstrates its value every


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