NEWS

The Board of Directors of the African Development Bank Group approved a loan of US$144.34 million (80 billion CFA francs) to Niger on 21 October 2026 in Abidjan to implement the second phase of the Programme to Support Energy Sector Governance and Competitiveness (PAGSEC-II).

The Bank Group’s support comprises a loan of US$123.72 million from its concessional window, the African Development Fund (ADF), and a further loan of US$20.62 million from the Transition Support Facility (TSF), its financing mechanism for member countries in transition.

In the energy sector, Niger has adopted its National Energy Compact Document as part of the M300 Initiative, which the country has joined, and established a national unit to monitor its implementation. The Programme has also enabled Niger to update its national energy policy and establish an inclusive consultation framework to develop a sustainability plan for the energy sector. The country now has a fully functional energy information system, and a plan for low-cost electricity generation has been drawn up. The authorities have also adopted the Charter for Micro, Small and Medium-sized Enterprises, revised the institutional framework for administering the Investment Code, approved the action plan for the National Framework for Public-Private Dialogue, and confirmed the legal status of Niamey’s second industrial zone – a significant step towards making it operational and attracting private investors.

The government has re-established the main public finance oversight bodies that had been suspended or rendered inoperative following the events of July 2023. The Court of Auditors and the Public Procurement Regulatory Authority (ARCOP) are now fully operational.

The second phase of the programme will build on these advances to strengthen energy sector governance, particularly through implementation of the new Electricity Code, whose adoption was supported by the Programme. The Bank will support the Nigerien government in adopting implementing decrees, including the regulatory framework for decentralised rural electrification (mini-grids and off-grid systems), and establishing a body to promote renewable energy.

To improve the business environment, promote the industrial sector and foster youth entrepreneurship, the programme will support the continued clearance of domestic arrears in accordance with the clearance plan. It will also support the operationalisation of APAPEC-NIGER, an agency promoting community shareholding for community-based entrepreneurship. The agency’s main remit will be to foster an entrepreneurial spirit within communities and advance industrialisation in strategic economic sectors.

Finally, the Programme will continue its dialogue with the authorities on the strengthening of the fiduciary framework and social issues, namely people’s access to water and sanitation, as well as support for victims of disasters and insecurity.