Africa Energy Bank to take off in April as Nigeria completes hosting obligations

Fresh optimism is building around Africa’s oil and gas financing landscape as the Africa Energy Bank (AEB) is expected to commence operations in Nigeria by April, following the completion of all requirements by the Federal Government.

The Minister of State for Petroleum Resources (Oil), Heineken Lokpobiri, made this known in Abuja during the official handover of the bank’s headquarters to the African Export-Import Bank (Afreximbank) and the African Petroleum Producers’ Organization (APPO).

The Africa Energy Bank was conceived as a continental response to the tightening funding space for oil and gas projects, as many international financiers scale back support for fossil fuel investments amid global climate change pressures and the energy transition.

In a statement issued on Tuesday, the Nigerian Content Development and Monitoring Board (NCDMB) confirmed that Nigeria had discharged the last of its commitments required to host the institution, effectively clearing the way for its take-off.

Lokpobiri said the major bottleneck delaying the bank’s commencement – the provision of a befitting headquarters – had now been resolved, noting that the government completed the procurement, construction and furnishing of the building.

“We are now formally handing over this furnished Africa Energy Bank to APPO and Afreximbank,” he said.

According to the minister, earlier attempts to secure a suitable structure for the bank were unsuccessful due to concerns over size and location, but the present facility met all expectations.

“Attempts were made to construct the bank three times. The first was discarded for being too enormous, and the second was not accepted because of its location. We are happy that we got this one right.

“It is paid for and furnished, and Nigeria is happy to hand over this well-furnished Africa Energy Bank building to APPO and Afreximbank, who are the enablers of the bank,” he added.

He stressed the strategic importance of the bank to oil and gas investment across the continent, assuring that Nigeria would continue to support its smooth take-off.

The bank’s operational launch has suffered a series of postponements. In November 2024, the Ministry of Petroleum Resources announced January 28, 2025, as the take-off date. The timeline was later shifted to the first quarter of the year.

Similarly, in May 2025, the NCDMB projected that the bank would begin operations before the end of the second quarter, a target that was not met.

With the headquarters now officially handed over and all conditions fulfilled, authorities say the Africa Energy Bank is finally poised to begin operations in April.