The U.K. plans to expand low-carbon energy projects throughout Nigeria via a £10 million investment, which will be mobilized through Nigeria’s infrastructure finance institution, InfraCredit.
Specifically, the investment will scale-up green energy project developments such as solar mini grids, while leveraging domestic capital through the blending of finance to de-risk transactions. By mobilizing capital from local pension funds, insurance firms, and other institutions, the investment will advance Nigeria’s clean energy sector.
“The UK is committed to increasing both renewable energy and energy access in Nigeria, driving clean, sustainable and resilient growth,” says U.K. Minister for Africa, Latin America and the Caribbean, Vicky Ford.
The financial pledge aligns with commitments made by the U.K. at Cornwall G7 and the United Nations Climate Change Congress of People (COP 26) to assist developing countries optimize clean energy and develop their economies sustainably.
Additionally, Minister Ford announced an additional £74 million pledge to assist female-owned businesses and small-to-medium enterprises – which contributes to approximately 48% of Nigeria’s Gross Domestic Product. She further stated that “When smaller businesses and women entrepreneurs are economically empowered, their whole community benefits. That is why the UK is providing new support with our African partners to help businesses access finance to scale up their operations.”