The African Development Bank (ADB) was established by 23 politically independent African countries on the August 4, 1963 at a meeting held in Khartoum, the Sudanese Capital. At the meeting, the agreement establishing the bank was endorsed and it came into operation with effect from September 10, 1964. Sixty-five percent of the capital stock of the bank, which stood at $250 million US dollars, was subscribed by 20 member countries. African Development Bank (ADB) started its operation in July, 1966 and the office was located in Abidjan, Cote d’Ivoire
In 1978, in Libreville, a decision to open up participation to non-African states was taken and the decision was ratified on December 30, 1982. Presently, the Bank has 51 African and 21 Non-African member countries. The inclusion of non – African member countries did not alter the initial plan of the bank as African bank. Thus, in order to retain its African character, some items were included in the amended character. These include:
The confinement of operations to African nations
To reserve two-third of the bank’s capital shareholding to African nations
The restriction of the Presidency to African citizens only
Mandatory requirement that no major decision be taken without a two –third majority
Objectives of African Development Bank (ADB)
- To undertake and participate in the study, selection and preparations of projects, enterprises and activities contributing to such development
- To use the resources at its disposal to finance investment projects and programmes relating to social and economic development of its members
- To promote Investment in Africa
- To provide such technical assistance as may be needed in Africa for the execution of developmental projects
- To mobilize funds from within and outside Africa for the financing of such investment projects and programmes.