China to give Nigeria €2 billion loan to rebuild power grid

• 11 hours ago (2025-10-08)
• David Flin

Africa 345 Transmission 220

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Nigeria is in advanced negotiations with the Export-Import Bank of China (EximBank) for a €2 billion loan to finance construction of a new transmission network.

Adebayo Adelabu, Nigeria’s Minister of Power, said that the new grid will connect the country’s eastern and western regions. He said: “It is part of the government’s plan to decentralise power generation and encourage large-scale commercial users, who exited the national grid due to its unreliability, to return.”

Nigeria’s energy crisis remains one of the most pressing constraints on its economic growth. Despite an installed capacity of around 13 GW, the national grid rarely delivers more than 4 GW. As a result, many businesses and households rely on self-generated power from diesel and gas generators.

The new grid is expected to enhance transmission efficiency, improve reliability, and ensure greater power delivery to key industrial zones.