Nigeria has been selected as the host country for the recently established Africa Energy Bank (AEB), Nigeria’s Minister of State for Petroleum Resources, Heineken Lokpobiri, said on Thursday.
The decision was made during an extraordinary session of the Council of Ministers of the African Petroleum Producers Organization (APPO).
“The African Energy Bank will be a cornerstone for financing and advancing energy projects across Africa, promoting innovation, sustainability, and economic growth. This is a remarkable victory for Nigeria and the entire African continent. It symbolizes our collective efforts to harness and develop our rich energy resources for a brighter, more sustainable future,” the minister wrote on X.
At its launch later this year, the AEB will have an initial budget of $5 billion.
The bank was established to finance energy projects throughout Africa. Its main objective is to help local markets meet the challenges posed by the global shift to renewable energy sources, according to the APPO.
The bank's services will primarily benefit the countries that have signed its founding agreements. National companies in the oil, gas, and energy sectors, along with any private or public organization that contributes to the industry's growth in the member countries, can also benefit from the bank's services.