Memorandum of Cooperation Between AFD and the Saudi Fund for Development
published on 12 April 2018
On the sidelines of the State visit to France by Saudi Crown Prince Mohammed bin Salman, a Memorandum of Cooperation has been signed on this Tuesday 10 April between AFD and its Saudi equivalent, the Saudi Fund for Development (SFD). It notably provides for enhanced cooperation and investments in projects in the Sahel region.
SFD aims to contribute to growth in developing countries by financing projects through the allocation of grants and concessional sovereign loans. It is the Saudi institution for bilateral aid.
The Memorandum has been signed today at the Ministry for Europe and Foreign Affairs, in the presence of the Minister, Jean-Yves Le Drian, by Rémy Rioux, Chief Executive Officer of AFD, and H.E. Ahmed Al Khateeb, Chairman of SFD. It provides for enhanced cooperation, a strategic dialogue, cofinancing, as well as EUR 100m from each partner for projects in Africa, and particularly in the Sahel region.
This Memorandum materializes one of the areas of the new Saudi Arabia-France strategic partnership, dedicated to development assistance and cooperation in third countries. Its signing comes three months after the signing of a new Memorandum of Understanding between AFD and the Islamic Development Bank (IDB), of which Saudi Arabia is the main shareholder. AFD is thereby strengthening its prospects for partnerships with Arab donors.
As leaders in the field of development, the Kingdom of Saudi Arabia and French Republic are going to work together to better meet development needs in the Sahel region. Through aid earmarked to improve essential infrastructure, SFD and AFD will contribute to improving the lives of a large number of people affected by conflicts, environmental crises and economic stagnation.
This Memorandum materializes one of the areas of the new Saudi Arabia-France strategic partnership, dedicated to development assistance and cooperation in third countries. Its signing comes three months after the signing of a new Memorandum of Understanding between AFD and the Islamic Development Bank (IsDB), of which Saudi Arabia is the main shareholder. AFD is thereby strengthening its prospects for partnerships with Arab donors.
