Nigerian banks are increasingly willing to finance renewable energy projects, according to Rural Electrification Agency (REA) Managing Director Abba Aliyu. Speaking at the Lagos Energy Summit 2025, Aliyu urged private-sector players to refine their business proposals to improve their chances of securing funding.
“I’ve never been a spokesperson for banks, but I can confidently say that they are ready to fund renewable energy. My position allows me to see the transactions firsthand, and I can confirm their commitment,” Aliyu stated. However, he noted that many applications fail to meet fundamental financial standards, with proposals often lacking alignment between business plans and financial statements.
At the same event, Dr. Lateef Akanji from the University of Aberdeen highlighted that only 33% of Nigerians have access to electricity, with power shortages causing an estimated annual economic loss of $26.2 billion. He recommended addressing the skills gap through capacity building and advocated for green bond initiatives.
Last month, the REA received approval to establish a renewable asset management company to oversee infrastructure worth nearly $500 million. President Bola Tinubu has also approved N100 billion for REA to implement the National Public Sector Solarisation Project, aimed at transitioning public institutions to solar energy.
Source: Nairametrics
