AfDB and AUC Present Reports on Key Actions for Inclusive Growth and Sustainable Development in Africa and the African Financial Stability Mechanism
Addis Ababa, Ethiopia – February 16, 2025 – At the margins of the 38th Ordinary Session of the Assembly of the African Union Heads of States & Government - The African Development Bank Group (AfDB) and the African Union Commission (AUC) have jointly presented two landmark reports: (1) The Strategic Framework on Key Actions to Achieve Inclusive Growth and Sustainable Development in Africa (IGS), commissioned in 2022 by His Excellency Moussa Faki Mahamat, Chairperson of the African Union Commission and Dr. Akinwumi Adesina, President of the African Development Bank Group, to provide a blueprint for the achievement of the 1st Aspiration of the African Union’s Agenda 2063 which seeks to achieve “A prosperous Africa based on inclusive growth and sustainable development;” And (2) The African Financial Stability Mechanism (AFSM) Technical and Operational Report, prepared by the AfDB and AUC as per the Decision of the Assembly of Heads of State and Government of the African Union by Decision Assembly/AU/Dec. 817(XXXV) of February 2022 which called for the establishment of an African Financing Stability Mechanism (AFSM). The high-level event brought together African leaders, policymakers, and development partners to discuss pathways for Africa’s economic transformation.
A Blueprint for Inclusive Growth and Sustainable Development
The Strategic Framework on Key Actions to Achieve Inclusive Growth and Sustainable Development in Africa was developed in response to Africa’s persistent economic challenges, including slow GDP growth, high unemployment, and vulnerability to external shocks. Rooted in the African Union’s Agenda 2063 and aligned with the UN Sustainable Development Goals (SDGs), the framework outlines targeted policy and strategic actions to achieve structural transformation. These include focusing on home-grown policies for economic sovereignty; deepening domestic resource mobilization and effective use; scaling up investment in human capital formation and effective use; strengthening regional economic integration and collective voice; strengthening state capacity, institutions and governance; establishing the African Financial Stability Mechanism and the African Credit Rating Agency; scaling up and sustaining investment in the High 5 priorities; changing mindsets and narratives; prioritizing industrialization, entrepreneurship and innovation; and sustaining sound and stable macroeconomic reforms. The report highlights that while Africa’s average GDP growth is projected to reach 4.4% in 2026, sustained growth rates above 7% are needed to lift millions out of poverty and drive long-term prosperity.
Download IGS report: English, French
Strengthening Africa’s Financial Stability
The African Financial Stability Mechanism (AFSM) report provides a roadmap for a dedicated regional financial safety net to help African economies navigate financial crises, stabilize macroeconomic conditions, and reduce reliance on external emergency funding. As the only continent without a regional financial arrangement, Africa’s urgent need for the African Financial Stability Mechanism (AFSM) is underscored by growing debt vulnerabilities and volatility in global financial markets. The report shows that if fully implemented, the AFSM could save African Sovereigns up $20 billion in debt servicing costs by 2035.
Download AFSM report English, French
Presentation of the report on African Financial Stability Mechanism (AFSM) & Strategic Framework on Key Actions to Achieve Inclusive Growth and Sustainable Development in Africa (IGS) Reports: Presented by Chief Economist & Vice President, Prof. Kevin Urama
Presentation of the African Financial Stability Mechanism (AFSM) & Strategic Framework on Key Actions to Achieve Inclusive Growth and Sustainable Development in Africa (IGS) Reports: AUDA-NEPAD CEO, Nardos Bekele-Thomas' panel remarks
Presentation of the African Financial Stability Mechanism (AFSM) & Inclusive Growth and Sustainable Development in Africa (IGS) Reports: Prof. Jeffrey D Sachs' panel remarks
Presentation of the African Financial Stability Mechanism (AFSM) & Inclusive Growth and Sustainable Development in Africa (IGS) Reports: H.E. Albert M. Muchanga's opening remarks
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