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On 26th April 2023, the Centre for Human Rights organized a Webinar to present its report findings on the African Development Bank's (AfDB) response to the COVID-19 pandemic in Africa. The objective of the webinar was to present the study and evaluate the AfDB's response to the public health and socio-economic challenges posed by the pandemic. The webinar also aimed to identify measures to enhance civil society's capacity to monitor AfDB activities to ensure transparency and accountability for AfDB-funded projects. 

The Webinar discussion brought together key partners working on the subject of accountability and transparency in International Finance Institutions' engagements as well as other key human rights advocates working around the area of human rights and development. The discussion was moderated by Mr Arnold Kwesiga, Manager of the Business and Human Rights Unit at the Centre for Human Rights. The panelists were Mr Joseph Byomuhangyi, from the Uganda Consortium on Corporate Accountability (UCCA), Ms. Phiona Nampungu from the Bank Information Centre (BiC), Mr John Mwebe from International Accountability Project (IAP) and Ms Tity Agbahey from the Coalition for Human Rights in Development (CHRD).

Professor Frans Viljoen, the Director of the Centre for Human Rights, University of Pretoria opened the webinar. He drew attention to the multifaceted threats posed by the COVID-19 pandemic. Alongside its health implications, the pandemic also impacted the social, political, and economic domains of communities in Africa. He stressed the significance of investigating International finance institutions generally and in particular the pandemic's effects. Professor Viljoen noted that while other international finance institutions are regularly monitored, the same cannot be said about the AfDB. He further emphasised the importance to provide an overview of the study's condensed version and receive feedback to help in disseminate the findings further and strengthen civil society engagement in AfDB

issues especially around transparency. To highlight the objective of the discussion, the moderator shared the background of the study, noting the gaps that existed prior to the pandemic as far as monitoring AfDB activities. It was noted that International Financial Institutions’ advocacy had mostly targeted the World Bank Group and IMF. The International Finance Corporation of the World Bank, specifically has been on the hook for its investments in private sector delivery of basic social services such as health and education. However, on the continent, the AfDB continued to operate without much scrutiny or monitoring from civil society actors yet the pool of its resources continues to increase. It was reported that in 2019—right before the COVID-19 crisis, the AfDB received more than double its original capital from its shareholders ($93 billion to 208 billion)—the largest ever capital increase in its history.

Joseph Byomuhangyi from the Uganda Consortium for Corporate Accountability presented the key findings and recommendations of the study, emphasising that the study focused on AfDB activities from February 2020 to September 2021 in response to the pandemic, including assessing loans to member states and the private sector, their use, and transparency and accountability mechanisms for the recovery period. The study found that the AfDB responded to the pandemic through various means, such as the $10 billion COVID-19 Relief Fund (CRF), grants, and concessional loans. These funds were earmarked for specific purposes, such as improving healthcare, increasing COVID-19 testing and surveillance. The report also highlighted several projects that the AfDB implemented to support the private sector, including a $100 million loan to Equity Group Holdings, a Kenyan bank, to expand its services in Central and Eastern Africa to better serve small and medium-sized enterprises (SMEs). In addition to the direct support provided through loans and grants, the AfDB also offered indirect support to the private sector during the pandemic. This was done through country aid grants, which were aimed at providing tax relief to support the private sector. The Bank also assisted small business owners, particularly female and young entrepreneurs, by awarding grants to cover basic costs. Furthermore, the AfDB provided incentives to foster the local production of COVID-19 essentials like masks, sanitisers, and other similar products. These were among the measures taken by the AfDB to support the private sector during the pandemic.

To involve civil society in its response to the pandemic, the AfDB created the "African Civil Society Against Covid-19" program, recognizing the crucial role of civil society in achieving inclusive development and ensuring that African nations receive adequate support. As part of the program, African civil society organizations (CSOs) were invited to submit technical proposals to address the pandemic on the continent. The submission deadline for proposals was June 22, 2021, and the Civil Society and Community Engagement Division (CSCED) would explore ways of collaborating with the selected CSOs. The AfDB provided incentives to foster the local production of COVID-19 essentials like masks, sanitizers, and other similar products. These were among the measures taken by the AfDB to support the private sector during the pandemic. To involve civil society in its response to the pandemic, the AfDB created the "African Civil Society Against Covid-19" program, recognizing the crucial role of civil society in achieving inclusive development and ensuring that African nations receive adequate support. As part of the program, African civil society organizations (CSOs) were invited to submit technical proposals to address the pandemic on the continent. The submission deadline for proposals was June 22, 2021, and the Civil Society and Community Engagement Division (CSCED) would explore ways of collaborating with the selected CSOs.

The report recommended that Regional Economic Communities and nations should consider upgrading the healthcare sector, diversifying African economies, increasing spending on infrastructure, supporting the private sector and informal economy, transitioning to climate change resilient infrastructure, engaging the AfCTA, and implementing responsible debt management. During the panel discussion, the panelists discussed the effectiveness of the AfDB's response to the pandemic, highlighting the bank's mandate to reduce poverty on the continent. It was emphasised that the AfDB’s mandate was to reduce poverty in Africa. It was found that the report's findings were consistent with similar work done by other organizations. The panelists pointed out that the AfDB is one of the least transparent IFIs and is difficult to engage with. Despite many reports being published on IFIs, it was noted that none of them could provide evidence of where the funds were utilized. The panelists discussed ways to improve monitoring, transparency, and accountability mechanisms for AfDB-funded projects. During the panel discussion, it was mentioned by one of the panelists that their organization had monitored a total of 184 COVID-related projects across Africa, out of which 44 were financed by the AfDB. The panelists expressed concerns about the suitability of the Independent Recourse Mechanism to handle complaints arising from failures to account for the COVID-19 funds.

The importance of civil society organizations (CSOs) in promoting transparency and accountability was highlighted by the panelists, who stressed their crucial role in monitoring and evaluating AfDB-funded projects and advocating for transparency in the bank's operations. Interested individuals were urged to join the AfDB working group, an informal platform focused on enhancing transparency, accountability, and participatory decision-making in AfDB-funded projects. The group, which includes CSOs, community groups, and other stakeholders, has created a guide to assist CSOs in engaging with the bank by providing information on how to access information, participate in consultations, and file complaints. The guide aims to help CSOs navigate the complicated processes and structures of the AfDB and ensure their input is considered in decision-making processes. The panelists acknowledged the AfDB's praiseworthy response measures, yet emphasized the necessity of improving their implementation to address the pandemic's public health and socio-economic impacts effectively. They underscored the significance of transparency and accountability mechanisms in AfDB-funded projects and the importance of engaging CSOs in monitoring these mechanisms. Additionally, the panelists discussed the requirement for the AfDB and African nations to address governance and accountability issues, including transparency in its operations.

The webinar provided an important platform for assessing the African Development Bank's response to the COVID-19 pandemic in Africa. It brought together key partners and human rights advocates who discussed measures aimed at enhancing civil society's ability to monitor the bank's activities for transparency and accountability. While the panelists acknowledged the bank's efforts to support African economies and communities, they also stressed the need for greater transparency and accountability. The webinar findings underscored the significance of monitoring IFI's response to crises and promoting equitable and sustainable development across the African continent. It is anticipated that the discussion will continue to gain momentum.


 

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