The Africa Energy Bank will begin operations in Nigeria on 28 January 2025, aiming to bridge financing gaps in Africa’s energy sector.
The Federal Government has announced that the highly anticipated Africa Energy Bank (AEB) will officially begin operations on 28 January 2025.
With an initial investment of $5 billion, the bank’s launch represents a pivotal move in enhancing energy access and development throughout Africa, addressing the critical financing gaps in the continent’s oil and gas industry.
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The announcement was made during the 19th Executive Board meeting of the African Petroleum Producers Organization (APPO) in Yaoundé, Cameroon.
A Nigerian delegation, led by Ambassador Nicholas Ella, Permanent Secretary of the Federal Ministry of Petroleum Resources and Executive Board Member representing Nigeria at APPO, disclosed the start date.
Representatives from 13 member countries attended the meeting, underscoring the cooperative efforts to bolster Africa’s energy infrastructure.
The Africa Energy Bank headquarters will be based in Abuja, Nigeria, following a competitive bid in July 2024 in which Nigeria prevailed over Ghana, Algeria, South Africa, and the Benin Republic.
The headquarters building was inspected in May 2024, and renovations are currently underway to ensure it is ready for the bank’s operations.
Ambassador Ella emphasised Nigeria’s dedication to the project, highlighting the support of the country’s President and National Assembly in meeting the set timeline.
The AEB is intended to bridge the financing shortfall in Africa’s energy sector, particularly in oil and gas.
As the first institution of its kind on the continent, it aims to mobilise funding for energy projects that are essential for economic growth, energy security, and sustainable development across African nations.
This new development positions Nigeria at the forefront of Africa’s energy transformation, showcasing the country’s commitment to the ideals of APPO.
The bank’s establishment in Abuja is expected to strengthen Nigeria’s role in the region’s energy landscape and create significant opportunities for investment and growth across the continent.
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