Nigeria's power sector still lacks funds - CNBC Africa

Nigeria's power sector still lacks funds

Western Africa

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Nigeria needs five billion naira per annum for the next five years to fund its power sector. PHOTO: Getty Images

A total of 25 billion naira will be needed and as the country alone cannot provide the sum along with other amenities required, the bank has committed to play its part in seeking to transform the power sector initiated by the government.

“What we want to do at Ecobank - knowing that our vision is to support economic development and financial integration of Africa - is to bring all our resources, financial solutions to support the economy of Nigeria and other African countries,” Olufunke Jones, Ecobank Country Head of Power & Energy told CNBC Africa.

(READ MORE: Nigeria to accept bids for 10 power plants)

According to Jones, the bank sees it as their responsibility to understand the needs of the power sector while understanding the reforms and to position themselves as a leader in the African market.

“Based on this information, we have basically partnered with organisations. We have the Ecobank capital that is helping to syndicate equities and debts for acquisition funding.”


Ecobank has long been involved in the sector’s privatisation process by providing financial advisory services, and National integrated Power Plants.

“We are talking to all the USA agencies to ensure that the bank partners with them, to ensure that the financial solution package that has been offered can work within the Nigerian system,” she explained.

With a lot of equity investors looking to Nigeria for investments, Jones believes that the bank is positioning as an access point to Africa. Nonetheless, not all the funds can be raised on the continent.

“We know that the Nigerian government and country cannot raise these funds. Nigerian local banks alone cannot raise these funds,” she added.