Nigeria Secures $1.1B AfDB Loan to Enhance Electricity Access

The African Development Bank (AfDB) has approved a $1.1 billion loan for Nigeria to improve electricity access and infrastructure. 

The Nigerian Federal Government has obtained a $1.1 billion loan from the African Development Bank (AfDB) to supply electricity to 5 million people by the close of 2026.

The Special Adviser to the President on Information and Strategy, Bayo Onanuga, revealed this in a statement after President Bola Tinubu’s announcement at the recently concluded Mission 300 Africa Energy Summit held in Dar es Salaam, Tanzania.

President Tinubu stated that the initiative is a key element of the government’s dedication to increasing electricity access and promoting economic growth.

He additionally emphasized that the AfDB’s $200 million investment in the Nigeria Electrification Project is projected to provide power supply to 500,000 individuals by the end of 2025.

Tinubu, with his speech presented by the Minister of Power, Adebayo Adelabu, stated: “I (Tinubu) recognized AfDB’s $1.1 billion initiative aimed at supplying electricity to 5 million individuals by the end of 2026. Additionally, its $200 million contribution to the Nigeria Electrification Project is projected to deliver power to 500,000 people by late 2025.”

“This is a challenging objective, yet together we can accomplish it. As the President of Nigeria, I am dedicated to prioritizing energy access.”

At the same time, the president anticipates receiving a proposed $1.2 billion investment from AfDB for Nigeria’s Desert-to-Power program and resources for the Nigeria-Grid Battery Energy Storage System.

We are also excited about the African Development Bank’s planned $700 million investment in Nigeria’s Desert-to-Power initiative and its proposed $500 million facility for the Nigeria-Grid Battery Energy Storage System. These projects will supply electricity to an additional two million people.

“We have also started planning to maximize the impact of the World Bank’s $750 million support, aimed at expanding Nigeria’s distributed energy access through mini-grids and standalone solar systems. This initiative will provide power to 16.2 million people,” Tinubu stated.

He expressed gratitude to Ajay Banga, President of the World Bank Group, and Akinwunmi Adesina of AfDB for their transformative vision that he believes “will illuminate and energize Africa.”

He also praised the efforts of the UN Sustainable Energy for All, the Rockefeller Foundation, and the Global Energy Alliance for Development.

Tinubu stated, “It’s well known that Africa is abundant in energy resources; however, millions of our people still do not have access to dependable and affordable energy.”

This situation cannot be accepted. It is our duty to work together to change this narrative.