The OPEC Fund for International Development (OPEC Fund) has successfully raised €500 million through its first-ever Euro benchmark bond on international capital markets. In addition, the Fund approved more than US$1 billion in fresh financing during the 193rd meeting of its Governing Board and throughout the third quarter of 2025.
Both steps highlight a renewed commitment to advancing sustainable development in low- and middle-income countries, with a particular focus on climate resilience, inclusive growth and infrastructure enhancement.
The €500 million raised will be used to finance and refinance projects aligning with its development mandate, particularly those with sustainability and long-term impact at their core.
By issuing in Euros, the Fund expands its investor base and reinforces credibility as a development finance institution capable of tapping international capital markets.
The successful €500 million Euro benchmark bond marks a milestone in the OPEC Fund’s funding strategy, broadening its investor base and reinforcing its position as a credible and innovative development finance institution.
Abdulhamid Alkhalifa, President of the OPEC Fund, said the measures demonstrate a firm commitment to “resilience, inclusive growth and climate action,” adding that the bond issuance and approvals pave the way for long-term transformational impacts. As the Fund approaches its 50th anniversary in 2026, he indicated that these actions represent its capacity to innovate.
“The new approvals, alongside our inaugural Euro benchmark bond, are a clear demonstration of our commitment to delivering more for our partner countries. We are deepening our support for resilience, inclusive growth and climate action, while laying the groundwork for long-term opportunities. As we approach our 50th anniversary in 2026, these twin milestones highlight our ability to innovate, grow and drive transformational impact for decades to come,” said the President.
The newly approved funding is earmarked for transformative projects spanning health, education, clean energy, water and sanitation, sustainable livelihoods, and resilient infrastructure in Africa, Asia, Latin America and the Caribbean.
The OPEC Fund approved a diverse set of public and private sector operations across multiple regions, targeting infrastructure, climate resilience, health, education and economic reforms.
In El Salvador, US$70 million was allocated to co-finance Phase II of the Surf City Program, upgrading roads, expanding sanitation for 70,000 people and strengthening climate resilience in La Libertad’s tourism zone.
Eswatini received a US$50 million policy-based loan to support fiscal reforms, boost competitiveness and build resilience to climate shocks, while Fiji was granted US$30 million for the Pacific Healthy Islands Transformation Project, aimed at modernizing health services through digital integration and workforce training.
In Morocco, a €100 million policy loan was approved to strengthen economic governance and climate resilience by improving efficiency in water and energy management while encouraging private sector participation.
In Türkiye, a €150 million investment was approved for the Kars-Iğdır-Aralık-Dilucu (KIAD) Railway Project, which will construct a 224 km electrified line to strengthen Eurasian trade connectivity. Finally, Uganda received US$30 million under Phase II of the Local Economic Growth Support Program to enhance agriculture, rural infrastructure and financial inclusion for an estimated 3.5 million people.
The institution, established in 1976, has funded more than US$30 billion in development and infrastructure projects in over 125 countries, with total project costs exceeding US$200 billion. It is rated AA+ with stable outlook by Fitch and S&P Global Ratings.
The OPEC Fund’s recent actions arrive at a time when many developing countries are struggling with climate shocks, infrastructural deficits, and fiscal constraints. By targeting sectors like clean energy, water and sanitation, and transport connectivity, the institution aims to address both immediate needs and systemic vulnerabilities.
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