The Alliance of African Multilateral Financial Institutions (AAMFI) has welcomed the African Union (AU) Ministers of Finance and Central Bank Governors’ endorsement of the Alliance at their recent meeting in Tunis, Tunisia.
The Ministers recognized the crucial role of African Multilateral Financial Institutions (AMFIs) in the continent’s financial architecture and reaffirmed their commitment to strengthening these institutions. They emphasized the importance of maintaining the Preferred Creditor Status (PCS) of AMFIs, which is essential for reducing borrowing costs and deepening capital markets.
The Ministers expressed concerns over recent attempts to weaken the PCS of AMFIs and urged AU Member States to uphold their commitments to these institutions. They also recommended that the AU Assembly mandate the African Union Commission to work with AAMFI in engaging key stakeholders, including the G20.
AAMFI’s Governing Council noted that the Alliance exemplifies Africa’s innovative approach to addressing financing gaps and ensuring sustainable development. The AMFIs have proven to be responsive to Member States in times of crisis, commercially sustainable, and fulfilling their development mandates.
The African Union’s rejection of recent attempts to weaken the preferred creditor status of African-owned and controlled multilateral financial institutions underscores their pivotal role in Africa’s financial architecture. AAMFI remains dedicated to collaborating with AU Member States, the AU, and other stakeholders to implement these critical decisions and advance the objectives of Agenda 2063.
AAMFI was co-founded by seven African financial institutions and is open to membership from all institutions established under treaty agreements by African states. Its goal is to become a powerful negotiating body that improves Africa’s position in the global financial system.
