Nigeria is intensifying efforts to accelerate the establishment of the proposed Africa Energy Bank, signalling readiness to inject additional capital if delays from participating countries threaten the project’s timeline.
Speaking at the Sub-Saharan Africa International Petroleum Exhibition and Conference in Lagos, Minister of State for Petroleum Resources (Oil), Heineken Lokpobiri, stressed that the bank must commence operations promptly to address Africa’s funding gap and strengthen energy security.
Nigeria has already emerged as the anchor contributor, accounting for about 70 percent of the initial capital base, and officials indicated the country could temporarily absorb outstanding funding requirements to prevent setbacks. The move underscores Nigeria’s ambition to position itself at the centre of continental energy financing while hosting the bank’s headquarters in Abuja.
The Africa Energy Bank is expected to mobilise billions of dollars for petroleum and broader energy infrastructure, offering an alternative funding channel as international lenders grow cautious about hydrocarbon projects. Lokpobiri noted that early-stage funding imbalances are common in multilateral institutions, citing similar regional banks that expanded gradually after initial support from a few countries.
Recent steps, including the formal handover of the Abuja headquarters, suggest the initiative is transitioning from planning to execution, even as member states finalise commitments. Authorities also disclosed that investors from outside Africa, particularly the Middle East, have expressed interest in participating once the bank becomes operational.
Analysts say the bank could play a pivotal role in helping African producers finance exploration, infrastructure, and technology upgrades without excessive dependence on external markets.
The push comes amid persistent electricity shortages and industrial energy constraints across the continent. For Nigeria, championing the initiative aligns with a dual objective: strengthening regional cooperation and ensuring capital availability does not become a bottleneck to economic growth.
By Juliet Ezeh, Abuja
