EBRD to Invest $1.5 Billion in Nigeria's Power Sector

The European Bank for Reconstruction and Development (EBRD) announced plans to invest at least $1.5 billion in Nigeria over the next three years, prioritizing the power sector, which is identified as one of the country's biggest development challenges. This investment follows Nigeria's admission as a shareholder of the EBRD in July 2025, with operations expected to commence in October 2025.

The bank has already committed $280 million to Nigeria within its first year of operations. Heike Harmgart, Managing Director for Sub-Saharan Africa at EBRD, stated that the investment aims to resolve long-standing electricity constraints, reduce operational costs for businesses, and unlock greater private sector investment across the economy.

The investment will include trade financing, with $180 million allocated for the current year and $100 million from the previous year. Hamza Al Asaad, EBRD's country head for Nigeria, noted that the bank's support will extend beyond financing to include reforms in the financial sector.