Nigeria Moves To Scale Off-Grid Power With $83m IFC Support

Nigeria’s off-grid power developers have secured approximately $83 million in International Finance Corporation (IFC)-backed financing under the Distributed Access through Renewable Energy Scale-Up (DARES) programme.

The agreements were signed on the sidelines of the World Bank Group and IMF Spring Meetings 2026.

The financing will support an initial group of Nigerian renewable energy companies deploying mini-grids and solar home systems in communities with limited or no grid access, marking a transition from pilot interventions to scaled deployment of distributed energy infrastructure.

Darway Coast, PriVida Power, Prado Power, GVE Projects and StarTimes Smart Energy have signed financing agreements under the first phase, while Ashipa Energy, Eauxwell Nigeria, Ignite Power, Maskh Nigeria, Nayo Tropical Resources and Paras Energy have been onboarded into the next phase of the financing pipeline.

The transactions sit within Nigeria’s DARES programme, a $750 million World Bank-supported initiative implemented by the Rural Electrification Agency to expand electricity access through privately delivered renewable energy systems.

The financing is structured as a revolving debt facility supported by the IFC, providing longer-tenor capital to developers in a market where access to affordable financing has remained constrained.

Speaking at the signing, IFC Managing Director Makhtar Diop highlighted the catalytic role of blended finance in shaping sector-wide growth.

“This demonstrates how blended finance can address ecosystem constraints at scale. Nigeria is leading the way, and we are already looking to replicate this success across the continent.”

Representing the Honourable Minister of Finance and Coordinating Minister of the Economy, Wale Edun, Special Adviser to the President on the Economy, Sanyade Okolie, emphasised the Federal Government’s economic transformation agenda.

“For Mr President, the priority is to transform the Nigerian economy in a way that lifts people out of poverty. People must feel the difference. As a government, particularly within the Ministry of Finance, we recognise the critical role of investment partners.

“Making Nigeria’s economy as attractive as possible to investors remains the most sustainable path forward. We commend the progress achieved so far by the Nigeria DARES team.”

Olufemi Akinyelure, Head of the Nigeria Electrification Programme and Project Lead for DARES Nigeria, said: “This marks a shift from programme design to execution at scale. Distributed renewable energy in Nigeria is now a bankable market, not a pilot segment. The structure allows capital to move where it is needed, at the speed required to deliver access and support economic activity.”

Minister of Communications, Innovation and Digital Economy, Bosun Tijani, emphasised the broader economic ambition driving infrastructure investments.

“The President’s ambition is to build a one trillion-dollar economy. This requires significant investment in infrastructure, particularly digital infrastructure. Expanding connectivity, bringing more Nigerians online, and strengthening how we do business will unlock new opportunities and provide a strong platform for innovation.”

Chief Executive Officer of Sustainable Energy for All, Damilola Ogunbiyi, noted that the programme is setting a precedent for global energy access financing.

“It is encouraging to see Nigeria leading the pathway for innovative financing under Mission 300. DARES is showing how the right structures can unlock scale, accelerate deployment, and deliver real impact for millions.”