{"query_echo":{"q":"","filters":{"analysis_type":["macro-economic analysis"]},"warnings":[{"code":"facet_value_not_in_vocabulary","message":"Value 'macro-economic analysis' for facet 'analysis_type' is not in the controlled vocabulary."}]},"total":{"value":1,"relation":"eq"},"page":1,"page_size":20,"self":"https://climateinsightsdirectory.org/api/v1/search?analysis_type=macro-economic+analysis","stability":"beta","ai_marking":{"digital_source_type":{"uri":"http://cv.iptc.org/newscodes/digitalsourcetype/trainedAlgorithmicMedia","name":"Created using Generative AI"},"notice":"Summary and key insights are generated using artificial intelligence."},"results":[{"id":"fsdafri-000087","url":"https://climateinsightsdirectory.org/document/fsdafri-000087","title":"Integrated discussion paper From crisis resolution to crisis prevention","publisher":{"name":"FSD Africa","organization":"fsd-africa"},"document_type":"report","language":"en","date_published":"2025","source_url":"https://fsdafrica.org/wp-content/uploads/2026/02/801131-ACF-AFSM-paper-Eng-05A.pdf","generator":"Climate Insights Directory","generated_fields":["summary","key_insights","climate_tags","analysis_type"],"summary":{"text":"The document outlines a proposed African-led financial architecture to move from crisis resolution to prevention. The first pillar, the African Financial Stability Mechanism (AFSM), is a proposed regional financing arrangement (RFA) providing concessional liquidity, including a specific climate shock liquidity facility, to manage exogenous shocks. The second pillar, the African Stability and Growth Pact (ASGP), is a flexible fiscal governance framework that uses peer accountability and nationally tailored fiscal rules rather than uniform targets. The two are integrated such that access to AFSM liquidity is linked to a country's commitment to and performance under the ASGP. The framework is designed to be hosted by the African Development Bank (AfDB) with oversight from the African Union (AU), and capitalised through a blend of member contributions, Special Drawing Rights (SDRs), and development finance.","ai_generated":true,"unit":"fsdafri-000087#summary","date_modified":"2026-10-23"},"key_insights":[{"text":"The African Financial Stability Mechanism (AFSM) is designed as a regional financing arrangement (RFA) providing concessional liquidity to address macro-economic shocks, including climate-related fiscal disruptions, but it is not intended to fund long-term climate adaptation or green infrastructure.","ai_generated":true,"unit":"fsdafri-000087#insight-1","date_modified":"2026-10-23"},{"text":"The proposed African Stability and Growth Pact (ASGP) avoids uniform fiscal targets, instead allowing countries to define their own fiscal rules based on their specific macro-economic context and volatility, supported by peer review from the African Peer Review Mechanism (APRM) and the Collaborative Africa Budget Reform Initiative (CABRI).","ai_generated":true,"unit":"fsdafri-000087#insight-2","date_modified":"2026-10-23"},{"text":"The AFSM and ASGP are integrated through a tiered eligibility framework where access to liquidity is calibrated based on a country's compliance with its own ASGP fiscal path.","ai_generated":true,"unit":"fsdafri-000087#insight-3","date_modified":"2026-10-23"},{"text":"The ASGP includes specific 'climate-linked flexibility' allowing countries to deviate from their fiscal rules by up to 2% of GDP for resilience investments, provided there is a plan to return to sustainability.","ai_generated":true,"unit":"fsdafri-000087#insight-4","date_modified":"2026-10-23"},{"text":"The AFSM is proposed to be hosted by the African Development Bank (AfDB) and capitalised through a blended model including member contributions, Special Drawing Rights (SDRs) rechannelling, and support from African development finance institutions (DFIs) and sovereign wealth funds (SWFs).","ai_generated":true,"unit":"fsdafri-000087#insight-5","date_modified":"2026-10-23"},{"text":"A phased roll-out is recommended, starting with a piloting phase from 2025 to 2027 involving five to seven countries to test the integrated model and peer review processes before wider institutionalisation and AU treaty endorsement post-2030.","ai_generated":true,"unit":"fsdafri-000087#insight-6","date_modified":"2026-10-23"},{"text":"The framework aims to address four primary institutional gaps in Africa: the liquidity gap (lack of a regional emergency tool), the credibility gap (absence of fiscal coordination), the ownership gap (donor-driven responses), and the coordination gap (lack of alignment between fiscal governance and liquidity access).","ai_generated":true,"unit":"fsdafri-000087#insight-7","date_modified":"2026-10-23"}],"climate_tags":["climate finance","climate change adaptation","Blended Finance"],"geography_discussed":[],"frame_perspective":[],"analysis_type":["policy proposal","institutional design","macro-economic analysis"]}]}