FG Reaffirms Commitment to Africa Energy Bank Amid Missed Q1 2025 Deadline
The Nigerian government has reaffirmed its commitment to the timely commencement of operations for the $5 billion Africa Energy Bank (AEB), a significant initiative by the African Petroleum Producers’ Organisation (APPO). The announcement was made by Senator Heineken Lokpobiri, Nigeria’s Minister of State for Petroleum Resources (Oil), who led the Nigerian delegation at a recent APPO meeting. The minister posted about the meeting on his X handle, emphasizing Nigeria’s dedication to ensuring the bank’s operations begin as soon as possible.
The Africa Energy Bank, a partnership between the APPO and trade finance institution AfreximBank, is designed to fund oil and gas projects and support Africa’s energy transition goals. The bank is expected to have a substantial asset base of $120 billion. While the launch of the bank was initially set for the first quarter of 2025, the deadline has now passed, with the launch delayed.
Missed Deadline, Ongoing Efforts
The delay comes despite earlier assurances that the bank would start operations by mid-2024. Lokpobiri had previously announced that the bank’s building in Nigeria—Africa’s largest oil producer—was ready, with only finishing touches left before the operations were to commence.
“This bank will take off by the end of this quarter,” Lokpobiri had stated earlier, as preparations continued for the launch. However, members of APPO have now missed the Q1 2025 deadline. Despite the setback, the Nigerian government remains committed to the successful operationalization of the Africa Energy Bank.
Nigeria had won the rights to host the bank, beating out three other African countries, reinforcing the country’s pivotal role in the continent’s energy landscape.
Looking Ahead to the Bank’s Launch
As preparations continue, stakeholders remain optimistic that the bank will soon begin operations, providing crucial funding for oil and gas projects across Africa while also contributing to the continent’s broader energy transition goals.
