Around one in two out-of-school children and adolescents live in countries at the forefront of the climate crisis, according to new analysis by Save the Children. The figures come as extreme heat has forced hundreds of schools to shut in the Philippines this week [1], while in South Sudan, students are only just returning to school after two weeks of heatwave-induced school closures, which impacted tens of thousands of children. 

For the analysis, Save the Children looked at how many of the approximately 250 million children and adolescents worldwide that are not in primary or secondary education (covering ages 5 to 19) live in places most vulnerable to climate change [2]. We found that 50% of children missing out on school live in 36 countries which are most at risk of the negative effects of the climate crisis while being least able to adapt [3]. These countries however, only represent around a quarter of children of school age.

Globally, the countries that are most vulnerable to the effects of climate change are those that are poorest or most fragile, where children were already more likely to be out-of-school for reasons including conflict, poverty, disability and gender inequality. Climate change makes extreme weather events and natural disasters that impact education even more likely. Around 62 million children and adolescents in 27 countries have had their education disrupted by climate shocks since 2020 [4], resulting in significant long-term impact on learning, both from school closures and from increased heatwaves [5].

In South Sudan, which saw scorching temperatures of up to 45 °C as this year’s hot season hit much earlier than usual, the government ordered schools to close for two weeks. Temperatures in at least ten of the Philippine’s 17 regions meanwhile are expected to hit or exceed 42 °C this week, about 20 % higher than typically seen in April.  

Kelley Toole, Save the Children’s Interim Global Director Child Poverty, Climate&Urban, said: 

“The climate crisis is a child rights’ crisis and its effects on children’s right to learn is a stark reminder of this. The climate emergency threatens children’s ability to access education and has potentially life-long consequences for children who again are being forced to pay the price for a crisis they are the least responsible for. 

Unless we act to protect education from the negative effects of a changing climate, the impact on the futures of these children who already live in some of the countries where out-of-school rates are already highest will only be more pronounced. We cannot let inequality build upon inequality and injustice upon injustice.” 

More than 1 billion children, around half the world’s 2.2 billion children, live in countries highly susceptible to – and in many cases already experiencing – the effects of climate change. 

Climate shocks and extreme weather such as cyclones, floods, and fires often damage or destroy schools and can lead to the displacement of school-age children or force them to enter the workforce to support their families. Girls are particularly affected as they are less likely to return to school after a disaster or a climate shock. 

As the world’s leading independent child rights organization, Save the Children works in 116 countries, tackling climate across everything we do, including education.

Save the Children is part of Building the Climate Resilience of Children and Communities through the Education Sector (BRACE), a green schools initiative which provides finance to support education systems in vulnerable countries to construct climate-resilient and green schools, integrate climate change in school curricula and provide climate early warnings to schools. We are also part of the Climate Smart Education Systems initiative to strengthen the resilience and relevance of education to climate change and environmental degradation, while the Comprehensive School Safety Framework, endorsed by over 70 governments is central to our approach to address climate change and ensure children have continued access to learning.

Save the Children is calling for improved understanding of climate change’s impact on education, a greater focus on education as part of climate action and more climate and education investment globally, including in Africa, where the African Union has declared 2024 the Year of Education.  

Distributed by APO Group on behalf of Save the Children.

UK company Globeleq, the leading independent power company in Africa, today announced that its Red Sands project in the Northern Cape has been awarded Preferred Bidder status in South Africa’s Energy Storage Capacity Independent Power Producer Procurement Programme (ESIPPPP). Globeleq is majority-owned by British International Investment (BII), the Development Finance Institution of the UK Government.

Battery storage is an essential enabler of renewable-energy generation, and the market for these systems is growing rapidly in South Africa and worldwide as a means of resolving energy crises and tackling climate change. These systems provide reliable power supply on demand, even when the energy grid is unstable, overcoming the challenges of intermittent wind and solar sources. They store energy at times of excess generation so that it can be released into the grid when generation falls short of demand, helping to mitigate the need for load-shedding.

Experts say that widespread energy storage is vital to expanding the reach of renewables and speeding the transition to a carbon-free power grid – this is key to helping reduce South Africa’s reliance on fossil fuels as it seeks to transition to clean energy. This R5.7 billion (US$300 million) investment therefore represents a flagship project financed by the UK as part of its commitment under the Just Energy Transition Partnership agreed at COP26.

The Red Sands project is in the Northern Cape, about 100km southeast of Upington, and was originally developed by African Green Ventures, a South African renewable project development company owned by Norwegian based energy firm Magnora ASA. The project will cover approximately 5 hectares (12 acres) and will connect to the grid through the Eskom Garona substation. The substation will be upgraded by the Red Sands project to ensure that full network support capabilities of the project’s batteries can be utilised.

Working closely with leading global battery and balance-of-plant suppliers, Globeleq estimates that the project will require an investment of approximately US$300 million and will take 24 months to construct after financial close, which is expected in 2024.

Globeleq is the largest independent power produce in Africa, providing nearly 1,800 MW of energy in South Africa, Mozambique, Kenya, Tanzania, Cote d’Ivoire, Egypt and Cameroon. Globeleq is a UK company based in London and backed entirely with Official Development Assistance (UK aid).

Red Sands will be Globeleq’s first Battery Energy Storage Solutions (BESS) project in South Africa but the Group owns and operates a combined solar and BESS plant at Cuamba in Mozambique, and is developing BESS projects across the African continent. Globeleq also owns and operates 8 renewable plants (6 solar PV, 2 wind) in South Africa with a total generating capacity of 384 MW.

Mike Scholey, Globeleq’s CEO commented:

“I am delighted that we have received Preferred Bidder status for this very important project, and I look forward to working with the government and our partners to take Red Sands to financial close and into operations. Electricity storage is going to be key not only in helping South Africa meet its considerable industrial and domestic demand for energy but also across Africa as more renewable energy projects benefit from the advances our industry has made with BESS technology.”

British High Commissioner to South Africa, Antony Phillipson said:

“This is a significant investment in South Africa’s future. The UK is proud to play such a vital role in helping to tackle the energy crisis with new technology that will bring power supply stability and most importantly support South Africa’s ambition to reduce carbon emissions.”

Distributed by APO Group on behalf of British High Commission Pretoria.

The Ethiopia National Center of the Africa Health Observatory Platform on Health Systems and Policies (AHOP), in close collaboration with the Federal Ministry of Health (FMoH) and the World Health Organization (WHO), successfully conducted a “Policy Dialogue on Engagement of the Private Health Sector in the Delivery of Tertiary Healthcare Services in Ethiopia.”

Despite its advantages, numerous barriers and challenges hinder the private sector’s engagement in investing in health sector development and healthcare service delivery to optimize tertiary healthcare services, as revealed by the policy dialogue held in Addis Ababa, Ethiopia, on March 21st.

The policy dialogue was graced by the presence of esteemed dignitaries, including Dr. Asnake Wakjira, the Ministry of Health’s management chief executive officer; Dr. Samuel Kifle, the President of Addis Ababa University; senior officials from the WHO African Regional Office and the WHO Ethiopia Country Office; Representatives from the Health Ministries of Ethiopia, Nigeria, and Rwanda; and the London School of Economics. 

The policy dialogue aimed at understanding how private sector engagement impacted the provision of health services generally and tertiary care specifically. It sought to identify changes to enabling environments such as policy and regulatory frameworks, advocacy, implementation of the policy framework, access to physical space, finance, and foreign currency, which have improved the interest and motivation of the private health sector for optimizing and engaging in the scale-up of tertiary healthcare service delivery. 

Moreover, the policy dialogue is set to make significant contributions to the ongoing development of the Ethiopian National Strategy for Private Sector Engagement in the Health Sector. This strategic alignment with the priorities of the Ethiopian Health Sector Mid-term Development and Investment Plan is a promising step towards enhancing healthcare services through effective public-private partnerships.

Speaking at the occasion, Dr. Dawit Wondimagegne, Director of the Ethiopian National Center of AHOP, emphasized that the policy dialogue aimed to foster inclusive discussions, networking opportunities, and strategic collaborations to enhance healthcare systems and services through effective public-private partnerships.

Based on the dialogue’s recommendations, the MoH will reshape strategies and enabling environments for effective private sector engagement in the health sector, strengthening approaches to enhance the capacities of the private sector. The policy dialogue holds significant importance for policymakers, the FMoH, and the private sector, Dr Dawit added.

Dr. Asnake, the Chief Executive Officer of the Ministry of Health, outlined the core priorities of the health sector over the next three years, which include restoring and establishing services in conflict-affected areas, enhancing the provision of medical supplies and equipment, increasing greater private sector engagement, and enhancing the quality and equity of health services.

He affirmed that the Health Sector Medium-Term Development and Investment Plan (HSDIP) will lead to a healthier and more prosperous Ethiopia. He also highlighted the development of a 10-year Specialty and Subspecialty Service Roadmap in Ethiopia to improve availability and access to tertiary healthcare services and ensure the quality of specialty and subspecialty services in both the public and private health sectors.

“The evolving nature of mixed health systems, where 33% of health facilities and healthcare providers in Ethiopia belong to the private sector, underscores the critical role of both public and private sectors in achieving universal health coverage,” said Dr.  Bejoy Nambiar, representing WHO-Ethiopia at the dialogue. He acknowledged that while the involvement of private sector players has increased access to healthcare services, significant challenges remain.

According to Dr. Bejoy, private health facilities and providers are predominantly concentrated at the primary level of service delivery, with only one out of 28 tertiary health facilities being privately owned. He stressed the importance of continuously collecting and analyzing data to align priorities for action and fostering relationships with the main actors to ensure effective private sector engagement.

WHO Regional Office for Africa and the WHO Country Office for Ethiopia have supported the Ethiopian Ministry of Health in reshaping the National Strategy on Private Sector Engagement to ensure equitable access to quality health services for all Ethiopians. Dr. Bejoy reiterated WHO’s commitment to working with the Government of Ethiopia and other partners, including the private sector, to ensure universal access to quality healthcare and improve health outcomes.

The private sector exerts significant influence in most of the world’s health systems, including through direct provision of health services, medicines and medical products, health insurance, health workforce training, information technology, infrastructure, and support services. As a result, most countries have “mixed health systems” where a mix of public and private providers deliver health services and health-related goods.

The Ethiopian Health Sector Mid-Term Development and Investment Plan recognizes the role of the private sector in expanding the health sector’s resource base and delivering specific services. Policy and regulatory frameworks have also been developed to encourage private-sector engagement. 

However, due to the limited engagement of the private health sector in tertiary healthcare service delivery, the public sector remains the primary source of such services (80%). In 2023, out of the 28 comprehensive specialized hospitals for tertiary healthcare service delivery across the country, only one was owned by the private sector.

Distributed by APO Group on behalf of World Health Organization (WHO) – Ethiopia.

African Export-Import Bank (“Afreximbank” or the “Group”) (www.Afreximbank.com) has released the consolidated financial statements of the Bank and its subsidiaries for the year ended 31 December 2023.

Largely propelled by the Bank’s and its subsidiaries’ growth, the Group’s results for the financial year ended 31 December 2023 demonstrate a strong and resilient performance, surpassing prior year results and well ahead of expectations. The Bank remained steadfast in implementing its 6th Strategic Plan and delivering value to stakeholders, and this resulted in the Group ending the year, once again, achieving a solid performance and attaining an exceptional financial position.

It is noteworthy that this performance has been enhanced by the Group’s ability to successfully execute its four strategic pillars focused on “Promoting Intra-African Trade,” “Facilitating Industrialization and Export Development,” “Strengthening Trade Finance Leadership” and “Improving Financial Performance and Soundness”.

Net interest income reached US$1.4 billion at the end of the 2023 financial year, compared to US$910.3 million in 2022. The 58.67% increase was driven by the growth in interest income, which in turn was driven primarily by the growth in the Bank’s portfolio of loans and advances. Net Interest Margin grew to 4.96% compared to the prior year’s level of 3.83%.

Due to global inflationary pressures and investment in human capital to support increased business activities, the Group’s total operating expenses were US$304.5 million, 34.93% higher than in 2022. The capacity expansion and rise in expenditures were envisaged in the five-year Sixth Strategic Plan, which is currently under implementation until December 2026.

The Group’s Total assets grew by 20.12% to US$33.5 billion (FY2022: US$27.9 billion), largely on account of increases in net loans and advances to customers and cash and cash equivalents.

The Group Shareholders’ funds, which largely mirrored the Bank’s Shareholders’ funds, recorded a solid growth of 17.55% to reach US$6.1 billion as of December 31, 2023, compared to the FY’2022 position of US$5.2 billion. Accounting for this growth were the US$546.8 million retained income (which is net of appropriated 2022 dividends) and the US$349.8 million fresh equity raised during the year as shareholders supported the GCI II programme, which aims to raise US$2.6 billion paid-in-capital (US$3.9 billion callable capital) by 2026.

Mr. Denys Denya, Afreximbank’s Senior Executive Vice President, commented:

“During the 2023 financial year, the Afreximbank Group exceeded the budget and significantly surpassed its 2022 performance. This outcome was mainly driven by the Bank’s and its subsidiaries’ achievements. Our focus is steadfast on fueling industrial growth, boosting trade within Africa, and promoting exports with added value, which are crucial for the continent’s prosperity. We will continue to maintain a cautious balance between profitability, liquidity, and safety to ensure a decent net interest margin and deliver profitable and sustainable growth and quality assets. We are delighted to report results well above forecasts for the financial year ended 31 December 2023, and look forward to delivering stronger financial outcomes in 2024.”

In 2023, the Bank was ranked number one in all three categories in the Bloomberg Capital Markets League Tables Report for African Capital Markets – number one Mandated Lead Arranger, Bookrunner and Administrative Agent for Sub-Saharan Borrower Loans. This is a testament to the Bank’s leadership role in facilitating capital from within and outside the continent.

 Additionally, its subsidiary, the Fund for Export Development in Africa (FEDA), received multilateral support from Zimbabwe, Kenya, Congo, Chad, Gabon, Sierra Leone, and São Tomé and Príncipe, who officially signed the FEDA Establishment Agreement. This collective support is pivotal in the Bank’s mission to provide lasting financial support to African economies.

The Bank also celebrated a key milestone — its 30th anniversary, marking three decades of financing and supporting trade in Africa and highlighting the need for Africa to enhance intra-African trade and integration amidst the challenges stemming from the global shocks caused by the COVID-19 pandemic, the adverse economic ramifications of the Ukraine crisis, and other global conflicts.

Moreover, the Bank inaugurated its Afreximbank Caribbean Office, a pivotal step in supporting the implementation of the Partnership Agreement between Afreximbank and the Caribbean Community (CARICOM) member states. This expansion solidifies Afreximbank’s commitment to promote and develop trade between Africa and the Caribbean, aligning with its Diaspora Strategy and the African Union’s designation of the African Diaspora as Africa’s sixth region.

Despite Africa’s economic challenges and constraints, Afreximbank’s management and team demonstrated a focus on supporting member countries by offering customized programmes and facilities designed to address the continent’s distinctive needs. These efforts and interventions assisted member countries in meeting trade finance commitments, assessing crucial imports, boosting food security and commodity production, alleviating supply chain bottlenecks, and adjusting to challenges arising from climate change.

Highlights of the results for the Group and Bank are shown below:

 Financial Metrics

 FY-2022 

 FY-2023

 Gross Income (US$ billion)

 1.50

 2.62

 Operating Income (US$ billion)

 1.03

 1.60

 Net Income (US$ billion)

 455.3

 756.1

 Total Assets (US$ billion)

 27.86

 33.47

 Total Liabilities (US$ billion)

 22.66

 27.35

 Shareholders’ Funds (US$ billion)

 5.21

 6.12

 Net asset value per share

 US$58,500

 US$63,683

 FY-2022

 FY-2023

 Profitability

 Return on average assets (ROAA)

 Return on average equity (ROAE)

 1.87%

 9.91%

  2.56%

 13.31%

 Operating Efficiency

 Net interest margin

 Cost-to-income ratio

  3.83%

 21.88%

 4.96%

 19.09%

 Asset Quality

 Non-performing loans ratio (NPL)

3.40%

 2.47%

 Liquidity and capital adequacy

 Cash/Total assets

 Capital Adequacy ratio (Basel II)

14.71%

 27.62%

16.80%

 23.77%

Distributed by APO Group on behalf of Afreximbank.

FORWARD-LOOKING STATEMENTS:
The Bank makes written and/or oral forward-looking statements, as shown in this presentation and other communications, from time to time. Likewise, officers of the Bank may make forward-looking statements either in writing or during verbal conversations with investors, analysts, the media, and other key members of the investment community. Statements regarding the Bank’s strategies, objectives, priorities, and anticipated financial performance for the year constitute forward-looking statements. They are often described with words like “should”, “would”, “may”, “could”, “expect”, “anticipate”, “estimate”, “project”, “intend”, and “believe”.

By their very nature, these statements require the Bank to make assumptions subject to risks and uncertainties, especially uncertainties related to the financial, economic, regulatory, and social environment within which the Bank operates. Some of these risks are beyond the control of the Bank and may result in materially different results from the expectations inferred from the forward-looking statements. Risk factors that could cause such differences include regulatory pronouncements, credit, market (including equity, commodity, foreign exchange, and interest rate), liquidity, operational, reputational, insurance, strategic, legal, environmental, and other known and unknown risks. As a result, when making decisions with respect to the Bank, we recommend that readers apply further assessment and should not unduly rely on the Bank’s forward-looking statements.

Any forward-looking statement contained in this presentation represents the views of management only as of the date hereof. They are presented to assist the Bank’s investors and analysts to understand the Bank’s financial position, strategies, objectives, priorities, and anticipated financial performance in relation to the current period, and, as such, may not be appropriate for other purposes. The Bank does not undertake to update any forward-looking statement, whether written or verbal, that may be made from time to time by it or on its behalf, except as required under applicable relevant regulatory provisions or requirements. 

Media Contact:
Vincent Musumba
Manager
Communications and Events (Media Relations)
Email: press@afreximbank.com
Tel: +20 2 24564100 /1/2/3
Mobile: +201030121123

Follow us on: 
Twitter: https://apo-opa.co/3OM69z1
Facebook: https://apo-opa.co/3uzf28d
LinkedIn: https://apo-opa.co/47po8Cm
Instagram: https://apo-opa.co/4bB9VF5

About Afreximbank:
African Export-Import Bank (Afreximbank) is a Pan-African multilateral financial institution mandated to finance and promote intra-and extra-African trade. For 30 years, the Bank has been deploying innovative structures to deliver financing solutions that support the transformation of the structure of Africa’s trade, accelerating industrialization and intra-regional trade, thereby boosting economic expansion in Africa. A stalwart supporter of the African Continental Free Trade Agreement (AfCFTA), Afreximbank has launched a Pan-African Payment and Settlement System (PAPSS) that was adopted by the African Union (AU) as the payment and settlement platform to underpin the implementation of the AfCFTA. Working with the AfCFTA Secretariat and the AU, the Bank is setting up a US$10 billion Adjustment Fund to support countries to effectively participate in the AfCFTA. At the end of December 2023, Afreximbank’s total assets and guarantees stood at over US$37.3 billion, and its shareholder funds amounted to US$6.1 billion. The Bank disbursed more than US$104 billion between 2016 and 2023. Afreximbank has investment grade ratings assigned by GCR (international scale) (A), Moody’s (Baa1), Japan Credit Rating Agency (JCR) (A-) and Fitch (BBB). Afreximbank has evolved into a group entity comprising the Bank, its impact fund subsidiary called the Fund for Export Development Africa (FEDA), and its insurance management subsidiary, AfrexInsure, (together, “the Group”). The Bank is headquartered in Cairo, Egypt.

For more information, visit: www.Afreximbank.com