The OPEC Fund for International Development launched two major financing initiatives aimed at climate-vulnerable and developing economies while advancing more than $2.8 billion in new loans, partnerships and development programs during its 2026 Development Forum in Vienna.
The development institution, marking its 50th anniversary, introduced the Vulnerability to Viability Compact, or V2V, alongside a $1.5 billion Digital Transformation Action Plan that will support digital infrastructure and systems in developing countries through 2030.
The V2V initiative was launched jointly with the Government of Barbados in its capacity as chair of the Climate Vulnerable Forum and its V20 Finance Ministers group. The compact is designed to improve access to affordable, long-term financing for 74 climate-vulnerable economies.
The initiative brings together 14 development finance institutions and will initially focus on sectors including water security, education and health.
“The development landscape is changing profoundly, but the central challenge remains the same: ensuring that countries have access to the finance, technology and partnerships they need to achieve their development goals on their own terms,” OPEC Fund President Abdulhamid Alkhalifa said during the forum.
The Digital Transformation Action Plan positions digital development as the OPEC Fund’s third cross-cutting strategic priority alongside climate action and food security. The initiative will finance digital infrastructure, capabilities and applications across partner countries through the end of the decade.
Alkhalifa said both initiatives were intended to address growing financing and technology gaps facing developing economies.
“Climate-vulnerable countries need access to finance on terms that reflect their realities, while all countries need the infrastructure and capabilities to participate fully in a rapidly changing digital economy,” he said.
The forum, held under the theme “A Transition That Empowers Our Tomorrow,” brought together more than 600 representatives from governments, development institutions, private sector firms and civil society organizations.
Beyond the flagship initiatives, the OPEC Fund signed and approved more than $450 million in new financing commitments during the gathering, including its first local currency financing transaction in Azerbaijan.
In Armenia, the institution approved an €80 million sovereign loan to support reforms aimed at improving the business environment, facilitating trade and strengthening economic resilience. A separate $50 million non-sovereign loan to Ameriabank will support trade finance activities focused on agribusinesses and small and medium-sized enterprises.
In Azerbaijan, the OPEC Fund signed a local currency loan equivalent to $20 million with Bank Respublika to support lending to local businesses and SMEs. The transaction marked the institution’s first local currency financing operation in the country.
The lender also arranged a $65 million syndicated loan facility for the East African Development Bank to finance SMEs and infrastructure projects across the region. The package includes $25 million mobilized from First Abu Dhabi Bank.
Mauritania secured a new Country Partnership Strategy valued at $180 million for the 2026-2029 period, targeting climate-resilient infrastructure, food security and rural value chains. The country also received a separate $15 million loan to strengthen social protection programs for vulnerable populations.
In Nicaragua, the OPEC Fund approved a $31.5 million loan to rehabilitate the Empalme Telica-Malpaisillo-Empalme San Isidro road corridor to improve transport connectivity in rural communities.
The institution also expanded its strategic partnerships through agreements with organizations including the Digital Cooperation Organization, Gavi, the Islamic Organization for Food Security, the Middle East Green Initiative Secretariat and Saudi Eksab.
The agreements are expected to support collaboration in digital transformation, immunization financing, food security, climate action and sustainable investment.
