The African Export-Import Bank (Afreximbank) and the African Petroleum Producers’ Organization (APPO) have formally established the Africa Energy Bank (AEB), a new institution expected to mobilise financing for energy projects across the continent.
The bank was established at its inaugural general meeting in Abuja on October 31, with an authorised capital of $5 billion.
The meeting also appointed Helmy Ghazi, former Deputy Chief Executive Officer of HSBC Bank Egypt, as the institution’s first President and inaugurated its Board of Directors.
The establishment of the bank is expected to strengthen Africa’s capacity to finance its energy development at a time when traditional international financiers are scaling back their exposure to oil and gas projects.
According to the African Energy Chamber (AEC), which has championed the initiative since 2024, the institution will place greater control of energy investment decisions in the hands of African financial institutions.
“For too long, Africa has been told which of its resources it is allowed to develop and who will be willing to pay for it. The Africa Energy Bank changes the conversation,” said NJ Ayuk, Executive Chairman of the AEC.
He added that African governments and investors backing their own projects with domestic capital would help reduce dependence on external financing decisions.
Bank targets financing operations in early 2027
Afreximbank and APPO estimate Africa’s energy investment requirements at approximately $200 billion, highlighting the scale of financing needed to develop the continent’s energy resources and infrastructure.
Speaking at African Energy Week (AEW) 2026 in Cape Town, APPO Secretary General Farid Ghezali said the bank is expected to begin financing projects in early 2027.
Its financing model will adopt a corridor-based approach, supporting projects across different segments of the energy value chain.
These will include clean cooking, power generation, export infrastructure and domestic energy infrastructure.
The bank’s initial phase is expected to feature ten flagship projects, with Nigeria, Angola and Libya among the targeted markets.
The African Energy Chamber has welcomed the proposed investment mix, describing it as an approach that recognises the need to expand energy access while developing Africa’s natural resources.
Afreximbank’s existing energy investments
The establishment of the Africa Energy Bank builds on Afreximbank’s growing involvement in financing major energy transactions across the continent.
In recent months, the bank committed $2.5 billion in underwriting to a $4 billion syndicated facility for Dangote Petroleum and Petrochemicals.
It also provided a $750 million reserve-based lending facility for Heirs Energies.
The transactions demonstrate the capacity of African financial institutions to support large-scale energy investments.
With its leadership structure now in place, attention is expected to shift towards securing its first financing agreements and getting priority projects underway.
“Now that the bank has its leadership, the priority is getting the first deals signed and the first projects built,” Mr Ayuk said.
The Africa Energy Bank is expected to become a significant source of financing for the continent’s energy sector, although its long-term impact will depend on its ability to mobilise capital and translate its investment commitments into completed projects.