Standard Bank commits $1m to African Peace Fund
The Standard Bank Group, Africa’s largest bank by assets and operating in 20 African markets, has signed a Memorandum of Understanding (MoU) with the African Union Peace Fund.
The pact will aid the AU in its resource mobilization efforts for peace across the continent.
A statement copied to the Ghana News Agency in Accra, said the MoU was signed at the African Union Peace Fund High Level Resource Mobilisation event on July 20, 2024, at the Kempinski Hotel Gold Coast City in Accra.
It said per the agreement, Standard Bank Group would provide one million dollars over the next five years.
The African Development Bank (AfDB) has estimated that 85 per cent of Africa’s 1.3 billion people live in conflict ridden or post-conflict countries.
As a result, it said that the AU had intensified its efforts to promote peace through preventive measures.
Mr. Yinka Sanni, Chief Executive of Standard Bank Africa Region, said maintaining peace in Africa was critical for cutting country risk premiums, making conducting business easier, and lowering capital costs.
He said that a stable business environment boosts market confidence and protects assets and investments from conflict risks.
“It enables businesses to expand their market reach and explore new growth prospects. Anticipated reductions in trade barriers through the AfCFTA will allow companies to access previously untapped markets with a lower likelihood of supply chain disruptions.
“The Standard Bank Group is committed to promoting sustainable development and improving the quality of life throughout Africa. Our purpose “Africa is our home, we drive her growth,” underscores our commitment to fostering a stable and prosperous continent where economic growth is firmly rooted in peace and security,” Mr. Sanni said.
Madam Felicity Sampong, Head of Risk, Stanbic Bank Ghana, who represented Standard Bank at the signing event, said “By aligning our goals with the objectives of the AU Peace Fund, we demonstrate our dedication to making a positive impact on the continent.”
She added that the donation was consistent with the bank’s strategy and positive impact approach to supporting Africa’s growth, maintaining its partnerships with important intra-African organizations, governments, and institutions.
The African Union Peace Fund (AUPF), established in June 1993, is one of the AU’s operational vehicles for financing peacekeeping and security missions. Its focus is on conflict resolution through mediation and diplomacy.
The AUPF is an essential component of the African Peace and Security Architecture (APSA), and it was revitalized in 2018 for its positive contribution to attaining Africa’s Agenda 2063 goal of a peaceful, prosperous, and united continent.
In its efforts to reduce dependency and regain ownership of the peace and security agenda, it has made commendable strides in revitalizing the AU Peace Fund, as evidenced by increased member state contributions to the Fund and enhanced governance and management arrangements for the Fund.
The goal is to allow the African Union to fully fund mediation and preventative diplomacy initiatives, improve institutional preparation and capability, maintain a crisis reserve facility, and meet its commitment of funding 25 per cent of its peace operations budget.
Source: GNA