ADFD’s operational activates concentrated on two main parts that aims to support economic development in the developing countries as follows:
1. Development funding
The Fund is providing development funding to the developing countries all around the world to finance development projects affecting various vital sectors such as: infrastructure, agriculture, transportation, renewable energy, electricity and other development sectors.
The financial activity has two main parts:
ADFD provides the developing countries with the financial aid in form of concessionary loans with long-term low interest rates. Accordingly, ADFD’s mission is to help in reducing poverty by financing development projects. The fund’s foundation in choosing the funded projects depends on the role of it in developing and supporting various economic sectors that affects the sustainable development in those countries. The fund studies all the projects before funding by evaluating it technically and economically to ensure their effectiveness
The Fund manages the grants and concessionary loans extended by the Abu Dhabi Government to finance development projects in developing countries. Furthermore, Fund ensure the quality of the project management through the direct supervision and follow up of all the stages of the implemented projects, as it will affect positively on enhancing social and humanitarian development in those countries
2. Investments
ADFD’s investments concentrate on utilize the available liquidity in order to achieve reasonable profits that enable the Fund to continue its development mission and expanding in provision financial resources to the developing countries, the contribution in direct investments will lead to develop the economic growth and create jobs in the beneficiaries countries. In addition, these contributions have essential role in strengthen the financial resources of the Fund and maintain the strength of its capital. Investment activity is divided into two parts:
Establish investment companies, contribute to the capital of existing companies in order to achieve reasonable profits and assist in achieving the development in countries in which companies are established
To invest in the available liquidity in bank deposits, bonds and instruments in order to achieve a high return on the funds available, taking into account the provision of liquidity necessary to pay the financial debt of the Fund