The newly established Africa Energy Bank (AEB) is set to deploy capital to fund energy projects across Africa in the coming months.

The bank, launched by the African Petroleum Producers Organisation (APPO) and the African Export-Import Bank (Afreximbank), will begin financing projects in early 2027, according to Farid Ghezali, Secretary General of APPO.

Financing will focus on projects that bring economic development across export infrastructure, domestic infrastructure, clean cooking and power.

The financial institution was established to meet financing requirements in oil, gas and broader energy sectors in Africa, following the withdrawal of funding support from global lenders.

International banks have limited financing or pulled back support for oil and gas developments in emerging markets amid net-zero initiatives.

AEB is an independent entity that is not regulated by any central bank, with initial share capital set at $5 billion, according to the APPO secretariat.

Source: Zawya