By Abdullahi Lukman
Africa is projected to lose up to $50 billion annually to climate change by 2050 if current trends persist, President of the African Development Bank (AfDB), Dr. Akinwumi Adesina, has warned.
Currently, the continent suffers annual losses estimated between $7 billion and $15 billion.
Speaking at the 14th Convocation Lecture of the National Open University of Nigeria (NOUN) in Abuja, Dr. Adesina highlighted the devastating impact of climate change on Africa, which is home to 9 of the 10 most climate-vulnerable countries globally.
He criticized the global climate finance system, stating that Africa receives only three percent of global climate funding.
Adesina also raised alarm over what he described as the “largest carbon grab in history,” where several African countries are surrendering their lands and carbon-rich environments in exchange for minimal financial returns.
“While carbon sells for over $200 per ton in Europe, Africa gets only $3 to $5 per ton,” he noted, emphasizing that this trend significantly undervalues the continent’s natural capital and limits its development potential.
He warned that the underpricing of Africa’s carbon assets not only deprives nations of much-needed revenue but also strips them of sovereignty over their natural resources.
“The ongoing carbon grab in Africa is a lose-lose proposition for African countries,” he said. “We must not sell ourselves cheap.”
The AfDB President revealed that Africa’s natural capital was valued at $6.2 trillion in 2018, more than double the continent’s GDP of $2.5 trillion at the time, highlighting the urgent need for a more accurate valuation of the continent’s green wealth.
To address this, the AfDB is developing a new framework to re-estimate Africa’s GDP based on the value of its natural assets. This, Adesina explained, would reduce debt-to-GDP ratios, improve credit ratings, and expand countries’ access to development finance.
He said the AfDB is spearheading climate adaptation efforts, including the $25 billion African Adaptation Acceleration Programme in collaboration with the Global Centre on Adaptation.
The bank is also supporting nations through tools like the Africa Disaster Risk Insurance Facility to cushion the effects of climate-related disasters.
Dr. Adesina delivered his remarks as the Special Guest Lecturer at the convocation, themed: “Advancing Africa’s Positioning within Global Development and Geopolitical Dynamics.”
