Africa has taken a historic step towards sustainable growth. Financial institutions have pledged Sh12 trillion (USD 100 billion) to accelerate green industrialisation across the continent. President William Ruto witnessed the signing in Addis Ababa, Ethiopia, during the Africa Climate Summit.
The agreement brings together major African banks and development institutions. These include AfreximBank, Africa50, KCB Group, Equity Group, Stanbic Bank Kenya, and Ecobank. The Africa Continental Free Trade Area (AfCFTA) Secretariat is also part of the pact. Together, they aim to use Africa’s renewable energy to build climate-smart industries, modernise value chains, and create millions of jobs.
The initiative is anchored in the Africa Green Industrialisation Initiative (AGII). First launched at COP28 and based on the 2023 Nairobi Declaration, AGII now has a clear action framework. Its priorities include:
- Scaling up renewable energy-powered industrial clusters
- Supporting new value chains in critical minerals, green fuels, and battery manufacturing
- Aligning cross-border policies to boost intra-African trade under AfCFTA
At the signing ceremony, President Ruto praised the deal as proof of Africa’s determination to secure a global economic role. “In only a few months, we have moved from conversation to collaboration. United with our financial institutions, our energy systems, and our trade corridors, we can anchor inclusive and globally competitive green value chains,” he said.
Industry leaders also committed to supporting the initiative. KCB Group CEO Paul Russo highlighted the bank’s focus on renewable-driven industrial growth. Equity Bank’s James Mwangi pledged $1 billion from the bank’s recovery and resilience plan for AGII projects. Africa50 announced a $313 million energy transmission project in Kenya to expand renewable power access for industries.
AGII complements the Accelerated Partnership for Renewables in Africa (APRA), headquartered in Nairobi. APRA aims to deliver 300 GW of renewable energy by 2030. With this funding and coordinated strategy, Africa is poised to lead the global transition to green and sustainable industrialisation.
