To further accelerate these financial partnerships, the Invest in African Energy Forum, set to take place in Paris in May 2025, will serve as a vital platform for fostering international collaboration. This landmark event will bring together financiers, policymakers and energy leaders to discuss emerging opportunities in Africa’s energy sector. International banks looking to expand their footprint in African oil, gas and energy projects will have the chance to connect with key stakeholders, gain insights into local markets and explore tangible investment opportunities.

China’s Longstanding Role in Africa

China has long been a cornerstone of South-South financing in Africa’s energy and infrastructure sectors. In 2023, China committed $4.61 billion to eight African countries and two regional institutions, continuing its significant involvement in large-scale energy projects like the $1.5 billion investment in Nigeria’s Lekki Deep Sea Port. This week, the China Development Bank approved a $255 million loan for Nigeria’s Kano-Kaduna railway project, aimed at connecting the commercial hub of Kano to the capital of Abuja and stimulating economic growth in related industries. Though investment has decreased since the peak of the Belt and Road Initiative, China is shifting towards a more sustainable lending approach, focusing on smaller funds, risk mitigation and long-term partnership building.

India’s Emerging Footprint

India, through its Export-Import (EXIM) Bank, is increasing investments in Africa, focusing on financing Indian companies expanding into Africa’s fast-growing markets. EXIM Bank has already committed over $12.8 billion to 42 African nations, supporting sectors such as sustainable fuels and renewable energy. As bilateral trade between India and Africa reached $100 billion in 2023, India is positioned to become a more prominent player in Africa’s energy future, with its financing role set to grow as the country deepens its economic diplomacy and infrastructure support across the continent.

African Banks Joining the Fray

African financial institutions are increasingly taking on leadership roles in funding critical energy projects. South Africa’s Standard Bank and Nigeria’s Access Bank are key players in energy financing, with Standard Bank actively supporting the $20 billion Mozambique LNG project. The upcoming launch of the Africa Energy Bank (AEB) in January 2025 marks a significant step in advancing intra-African financing. With an initial capital of $5 billion, AEB aims to reduce reliance on external funding and foster ownership of energy projects across the continent. This shift toward indigenous resource mobilization signals Africa’s growing financial autonomy and its potential to drive sustainable energy development.

Why South-South Financing Matters

The rise of South-South financing marks a crucial evolution in how African energy projects are funded. Unlike Western lenders, emerging market financiers recognize the vital role of oil and gas in Africa’s industrialization and economic development. As global energy demand intensifies, South-South cooperation offers a balanced path forward, unlocking Africa’s vast resource potential. Platforms like IAE 2025 provide a valuable space for collaboration, helping Africa attract the capital needed for growth.

IAE 2025 is an exclusive forum designed to facilitate investment between African energy markets and global investors. Taking place May 13-14, 2025 in Paris, the event offers delegates two days of intensive engagement with industry experts, project developers, investors and policymakers. For more information, please visit www.invest-africa-energy.com. To sponsor or participate as a delegate, please contact sales@energycapitalpower.com.