Standard Chartered bank is ready to commit more than US$2bn for financing of energy projects as part of the Power Africa initiative. (Image source: Standard Chartered)

After the African Development Bank (AfDB) and African business fraternity joined President Obama’s Power Africa initiative, Standard Chartered bank has also expressed interest in investing in the continent’s power sector

The bank has said it is ready to commit more than US$2bn for financing of energy projects as part of the Power Africa initiative, a five-year partnership between the United States, six African countries and the private sector.

A statement from Standard Chartered explained that the fund was more than 20 per cent of the initial private sector contribution to Power Africa, alongside the US government’s provision of US$7bn.

The Power Africa partnership will represent a coordinated cross-border effort to build the regulatory, economic and policy foundation in an attempt to double the access to power in sub-Saharan Africa.

The governments of Ghana, Tanzania, Kenya, Nigeria, Ethiopia and Liberia and a group of private-sector firms are taking part in the initiative to improve access to clean, reliable power in Africa.

The project will be expected to add more than 10,000MW of efficient electricity generation capacity, increasing access to electricity for more than 20mn new households and businesses.

Standard Chartered Group chief executive Peter Sands has said that throughout the banks 150 years of history in Africa, it has always strived to contribute to social and economic development, financing trade and investment across the continent.

“We are delighted to partner with the United States and the African governments involved in the Power Africa initiative to address one of Africa’s most critical infrastructure challenges,” he added.