Chief Executive Officer (CEO) of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), Ahmed Farouk, said the Africa Energy Bank will commence operations in Nigeria soon.

Farouk made this known at the opening of the 18th edition of the Oil Trading and Logistics (OTL) conference in Lagos, saying that plans are already being finalized to establish the bank, which is expected to provide the funds necessary to Fastrack the growth of energy supply infrastructure for the continent.

The Africa Energy Bank in a collaborative effort, is expected to assist the continent in its journey towards sustainable and just energy transition.

The 18-member African Petroleum Producers’ Organisation (APPO) recently expressed the hope that the lender can begin operating in early 2025, according to the executive vice president of global trade at the African Export-Import Bank, Haytham El Maayergi, a partner in the project.

Africa’s oil producers have encountered funding restrictions from traditional western backers, including multilateral institutions whose rules increasingly bar them from oil and gas investing.

The World Bank stopped financing upstream oil and gas projects in 2019, while the African Development Bank (AAfDB), which has the US as its number two shareholder, does not put money into fossil fuel projects.⁷