Iraq has officially become the 74th member of the European Bank for Reconstruction and Development (EBRD), as confirmed by the bank on Thursday. Notably, Ghana and Senegal have also expressed interest in joining this multilateral lender, with their applications currently under review, according to reports from Reuters.
Having initially applied for membership in 2018, Iraq’s acceptance as a shareholder opens avenues for the nation to seek EBRD funding and policy support as it aspires to become a beneficiary economy.
In response to this milestone, Odile Renaud-Basso, the President of EBRD, conveyed enthusiasm about commencing collaborative efforts in Iraq and leveraging the bank’s expertise to contribute to the development of the Iraqi economy when the appropriate time arises.
Renaud-Basso highlighted that the applications from Senegal and Ghana are set for thorough evaluation by top EBRD officials before potential approval. It’s worth noting that the bank had already greenlit applications from Ivory Coast and Benin back in October.
Founded in 1991 with a focus on investing in the economies of former communist countries in Eastern Europe, the EBRD has expanded its influence and is currently active in Europe, the Middle East, North Africa, and Central Asia.
In a strategic move, the bank initiated a process last Wednesday to increase its existing share capital by four billion euros, bringing the total to thirty billion euros. This augmentation primarily aims to enhance support for Ukraine. Pending approval from the governors, this marks the third share capital increase in the history of the EBRD.
