The African Export-Import Bank (Afreximbank) and the African Petroleum Producers’ Organisation (APPO) have formally established the Africa Energy Bank (AEB), creating a new pan-African financial institution intended to address funding constraints across the continent’s energy sector.
The announcement was made during the bank’s inaugural general meeting in Abuja, Nigeria, on October 31, 2026. The institution has authorised capital of $5 billion and is being established as Africa faces an estimated $200 billion investment gap in its energy sector.
The bank’s founders say the institution will help address the financing shortfall as several traditional lenders reduce their exposure to fossil fuel projects, despite oil and gas continuing to play significant roles in many African economies.
Financing across the energy value chain
The Africa Energy Bank will support projects across the energy value chain, including exploration, production, transportation, processing, refining and distribution.
Its mandate also includes supporting investment in energy generation and transmission infrastructure, with the broader objective of improving energy security and strengthening the continent’s industrial capacity.
According to the initiative’s backers, the institution is expected to help reduce dependence on imported petroleum products, expand intra-African trade in energy commodities and increase African participation in the development of the continent’s natural resources.
Pan-African investment platform
The AEB will operate independently as a pan-African financial institution and seek to attract capital from governments, national oil companies, financial institutions and private-sector investors.
Its establishment is intended to provide an additional source of financing for African energy projects, particularly as developers seek funding for infrastructure and production capacity.
During the inaugural assembly, delegates appointed Helmy Ghazi as the bank’s first president and approved its inaugural board of directors.