African financial powerhouses have announced plans to mobilise more than $100 billion for green initiatives across the continent, in what accentuates a decisive step toward sustainable growth and positioning Africa at the heart of the global climate economy.

At the Africa Climate Summit in Addis Ababa, Ethiopia, leading financiers, including the African Development Bank (AfDB), African Export-Import Bank (Afreximbank), and Ecobank Transnational Inc., committed to a coordinated strategy that blends large-scale financing with regulatory harmonisation and technical expertise.

According to Bloomberg, the measures are “designed to accelerate renewable-powered industries, expand regional value chains, and establish Africa as a global hub for sustainable trade,” the financiers said on Monday. This collective pledge is expected to redirect much-needed capital to Africa, a continent that currently attracts less than 3% of global energy investments, despite holding 60% of the world’s solar resources and vast untapped wind, hydro, and geothermal potential.

For Nigeria, the $100 billion pledge presents a rare opportunity to diversify its energy mix, reduce heavy reliance on fossil fuels, and advance its green industrialisation agenda. The financing could support the rollout of large-scale solar farms and mini-grids to electrify rural and underserved communities, bridging the country’s significant energy access gap.

It also opens a pathway for clean transport investment, ranging from compressed natural gas (CNG) initiatives to the development of electric vehicle (EV) infrastructure—both of which align with the Federal Government’s ongoing drive to promote alternative fuels and reduce emissions from the transport sector.

Beyond energy and transport, Nigeria could leverage the funds to deepen its participation in green manufacturing and value-added processing, especially in critical areas such as battery minerals, renewable technologies, and low-carbon industrial production. Climate-smart agriculture also stands to benefit, enabling more resilient food systems that can boost food security, cut emissions, and promote sustainable farming practices.

Importantly, the pledge dovetails with Nigeria’s Energy Transition Plan (ETP), which targets net-zero emissions by 2060 while ensuring universal energy access.

Nigeria has already taken steps to demonstrate its commitment to climate finance. In June, the Federal Government launched its N50 billion Series 3 Sovereign Green Bond, designed to channel resources into renewable energy, clean transport, sustainable water management, and climate change adaptation. Earlier in January, President Bola Ahmed Tinubu also urged global investors to partner with Nigeria in financing green energy and sustainable development projects.

By aligning continental financing pledges with domestic initiatives, experts say Nigeria is strategically placed to benefit from Africa’s green transition, attracting global capital, driving innovation, and cementing its role as a regional leader in the emerging climate economy. (SUN)

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