ABIDJAN / Ivory Coast, 15 December 2025: The African Development Bank Group (AfDB) has strengthened its partnership with São Tomé and Príncipe through the signing of three new grant financing agreements totaling $18 million, aimed at advancing fiscal resilience, energy transition, climate-smart agriculture, and integrated water-energy-food security. The agreements were signed at the São Tomé and Príncipe Investment Forum held in Brussels.
The largest component includes $7.5 million for the third phase of the Fiscal Sustainability and Resilience Program – Supplementary Financing (FSERP-SF), bringing total budget support under the programme to $20 million since its launch in December 2023. Financed through the Nigeria Trust Fund, the programme supports reforms in public procurement, customs, and debt management, alongside energy sector transition measures such as improved utility governance, tariff adjustments, and accelerated adoption of renewable energy.
A second agreement channels Global Environment Facility (GEF) resources into the Co-Management of Climate Extremes for Agriculture and Fisheries Resilience Project (PRIASA III). With total financing of $18.9 million, including $10 million from AfDB and $8.9 million from GEF, the project focuses on strengthening agriculture and fisheries value chains, deploying climate-resilient technologies, and reducing vulnerability to droughts, floods, and water scarcity.
The third agreement provides $1.4 million in Project Preparation Facility funding under the NEW-ERA initiative to develop integrated water resources management studies, including a multipurpose dam, water treatment infrastructure, sanitation planning, and climate-resilience measures.
AfDB Country Manager Pietro Toigo said the agreements demonstrate the Bank’s role as a provider of patient capital and risk mitigation. As of November 2025, AfDB’s active portfolio in São Tomé and Príncipe stands at $89.4 million, with a strong focus on resilience, food security, and energy transition.
