Financing key to unlocking Africa's energy potential - Jinapor

Dr. John Abdulai Jinapor, Ghana's Energy and Green Transition Minister, made comments at the Stellenbosch Business School Alumni Association Thought Leadership Forum in Accra on Thursday, stating that financing remains the biggest barrier to unlocking Africa's energy potential. In a speech read on his behalf, Dr. Jinapor said Africa's energy sector is constrained by high capital costs linked to perceived risks, limited investment concentration, and inadequate funding for energy access and infrastructure.

Dr. Jinapor noted that public and private financiers, including G20-linked institutions and multilateral development banks, mobilized about US$345 billion for African energy projects between 2012 and 2021. However, about 77 percent of these funds went to only ten countries, including Egypt, Nigeria, South Africa, Angola, Morocco, Ghana, Uganda, Kenya, and Ethiopia. He urged African governments to prioritize strategic and collaborative financing to develop sustainable and resilient power systems and deepen regional electricity trade. Dr. Jinapor also stated that more than half of Africans lacked access to electricity, despite the continent possessing significant energy resources, including strong solar potential and oil and gas reserves in countries such as Nigeria, Mozambique, Algeria, and Senegal.