AfDB Provides $145M Loan to Niger to Bolster Electricity Access and Competitivity

On 3 October 2025, the Niger PM Ali Zeine and AfDB President Sidi Tah signed an accord for a financing package of USD 144.70 to boost #ElectricityAccess and competitivity of the private sector in Niger. In particular, it is earmarked for Phase One of Niger government’s program to enhance governance in the energy and competitivity (PAGSEC). The loan emanates from the concessional loan of the AfDB under the African Development Fund.

The two objectives are closely tied since without access to affordable and reliable to electricity, it is hard to be competitive and to industrialize. In line with AfDB general policy guidelines, the financing will pay particular attention to #SocialInclusion, #GenderEquality, and #ClimateChange.

Certain clear quantitative objectives and definite timelines have been defined as part of Phase One of PAGSEC. Niger commits to deploy 50 MW in solar energy by 2026. At the same time, the electricity access rate is forecasted to improve from 22.5% to 30%. The manufacturing sector contribution to the national GDP is also expected to increase from 2.5% to 3.8%.

In the past, the National Electricity Company of Niger (Nigelec) received a similar financing package of USD 65 million from the World Bank as part of its ongoing #ElectricityAccess enhancement program called NELACEP. Nigelec employed the financing mostly to upgrade its transmission and distribution network.

Another key aspect of the funding is the emphasis on #GoodGovernance and the proper management of public finance. Niger will need to improve its fiscal and audit policies and measures. The Government of Niger is expected to work hand in hand with the Private Sector to bolster the industrialization as a result of the enhanced electricity access.