The IsDB and the Global Partnership for Education (GPE) have made their first allocation of US$280 million in financing under the Arab Coordination Group (ACG) Smart Education Financing Initiative (SmartEd).
The funding will contribute to bridging the educational financing gap for children in Cameroon, the Kyrgyz Republic and Uzbekistan.
“In our efforts to build better and more resilient education systems, member countries like Cameroon, [the] Kyrgyz Republic and Uzbekistan must be supported with financial tools to complement domestic resources,” Dr Muhammad Sulaiman Al Jasser, the chairman of the IsDB Group, commented.
Dr Muhammad further noted that the IsDB is committed to expanding the available funding for education through the SmartEd initiative.
The initiative is expected to have a ripple effect in the beneficiary countries, contributing to poverty reduction. Additionally, the IsDB opines that the impact of the initiative will be felt across generations.
According to the multilateral bank, the demand for financing through ACG SmartEd underscores the determination of governments to prioritize education, notably amid current food security and climate change challenges.
SmartEd is a joint effort between the GPE and the ACG, an alliance of financial institutions providing coordinated development financing for sustainable development projects globally.
The initiative was launched in late 2021 and features a funding mechanism that provides US$4 for every US$1 mobilized from the GPE multiplier of up to US$400 million.
To date, the GPE multiplier mechanism has resulted in an additional US$100 million of funding being channeled to OIC countries as a result of the US$400 million contributions from the ACG.
“The funding generated through this initiative will help governments tackle the learning crises at their doorstep, providing additional funding on better terms, and making sure these resources are invested in effective, sustainable education programs,” Jakaya Mrisho Kikwete, the board chair of the GPE, commented.
According to the IsDB, the GPE multiplier is central to ensuring that governments can access funds on favorable terms.
In addition to its efforts under the SmartEd initiative, the ACG is also a member of the Lives and Livelihoods Fund, which mobilizes funding for projects across the healthcare, agriculture and industrial development sectors.