YAOUNDE, Cameroon (BG) — The African Development Bank (AfDB) has been awarded the prestigious Special Jury Grand Prix at the inaugural Finance Your Cities (FYC) Innovation Awards for its Adaptation Benefits Mechanism (ABM), according to a statement.

The award, presented on November 5 at the 12th World Urban Forum in Cairo, Egypt, acknowledges the ABM’s innovative approach to urban climate adaptation finance.

AfDB’s Country Manager for Egypt, Abdourahmane Diaw, and Manager for Climate and Environment Finance, Gareth Phillips, accepted the honor on behalf of the Bank.

Supported by the French Ministry of Ecological Transition, the French Agency for Ecological Transition, United Cities and Local Governments, and the European Commission, the award underscores ABM’s potential to drive climate resilience in urban settings.

A New Approach to Climate Adaptation Funding

The ABM is a unique financial instrument that mobilizes public and private funding to strengthen the climate resilience of vulnerable communities and ecosystems.

According to the statement, by certifying and monetizing adaptation benefits, the ABM enables projects that might otherwise lack funding to proceed.

It also offers verified metrics for progress in resilience and sustainable development, applying a rigorous approval process to ensure impact.

The award jury commended the ABM for breaking down financial barriers to climate adaptation and promoting resilient urban development.

This recognition comes as 70% of African cities face severe vulnerability to climate shocks, with the continent likely to see temperature increases two to four times higher than the global average.

Local Impact and Upcoming Projects

Phillips highlighted Cairo’s increasing climate challenges, particularly flash flooding in the old city, stressing that the ABM’s support for private sector involvement is crucial for disaster risk reduction and resilience.

Ongoing AfDB projects under the ABM include a water sector initiative in Egypt starting in 2025 and a women-led plastic recycling project in Kaolack, Senegal.

Khalifa Ababacar Sarr, Director General of the Senegal Waste Management Authority, noted the significance of the Kaolack project, which aims to reduce climate-induced flooding through recycling efforts led by local women.

“We are thrilled to see the ABM in action, particularly in Kaolack,” Sarr said. “The women-led plastic collection and recycling facility will play an integral role in mitigating climate change impacts.”

Launched by AfDB in 2019, the ABM serves as a strategic tool for local governments to collaborate with the private sector on climate adaptation.

It complements AfDB’s other financial programs, such as the Climate Investment Funds and the Africa Adaptation Acceleration Programme, supporting resilience initiatives across the continent.

SOURCE : AFDB