Key developments in ADF-15 compared to ADF-14 include:
ADF-15’s responsiveness to fragile situations has been strengthened through a consolidated Performance-Based Allocation (PBA) formula and improved methodology for TSF Pillar I allocations.
The regional operations (RO) envelope increased from 21% to 25%. Resilience and fragility considerations coupled with soft components related to policy and other instruments, have been incorporated.
A dynamic use of the World Bank-IMF Debt Sustainability Framework to better monitor and prevent the risk of debt distress in ADF countries. Stronger incentives provided to countries which are on good reform trajectory.
The scope of PPF has been expanded and ADF PPF Operational Guidelines were finalized.
Private Sector Credit Enhancement Facility (PSF)
Additional UA 100 million were allocated to the PSF to handle increasing risk mitigation needs for NSOs in transition countries.
The African Development Fund (ADF) is the concessional window of the African Development Bank (AfDB) Group. Established in 1972, it became operational in 1974.