EBRD Makes First Sub-Saharan Africa Investment With €30M Loan To SBEE To Expand Reliable Electricity Access In Benin’s Rural Communities

The European Bank for Reconstruction and Development (EBRD) has made its first investment in sub-Saharan Africa with a financing initiative in Benin aimed at expanding access to reliable electricity for underserved communities. The Bank has provided a €30 million sovereign loan to Société Béninoise d’Énergie Électrique (SBEE), the national power distribution utility. This investment is intended to strengthen Benin’s national grid, modernize its electricity distribution infrastructure, and improve energy access for rural communities, particularly benefiting vulnerable households and women.

The EBRD’s financing forms part of a larger €173 million programme, co-financed by the Agence Française de Développement, which is the leading partner in the investment, and the European Investment Bank. The programme also includes a grant from the European Union’s Africa Investment Platform. Together, this support will enable the rural electrification project to connect approximately 120,000 households—equivalent to around 600,000 people—across 750 villages and towns in the Mono, Couffo, and Borgou regions, providing communities with enhanced social and economic opportunities.

The project involves the extension, modernization, and densification of medium- and low-voltage electricity distribution networks in these regions. It also includes modern grid upgrades such as improved fault-detection systems and stronger cybersecurity measures for SBEE, which will increase the reliability and resilience of the electricity supply.

Dasha Dougans, EBRD Head of Benin, highlighted the significance of this investment, noting that it represents a transformative step for the country shortly after Benin became an EBRD shareholder. She emphasized that the project will expand access to reliable electricity for thousands of families and strengthen the sustainability and resilience of Benin’s energy infrastructure, which is crucial for accelerating rural development and unlocking economic potential.

Benin joined the EBRD as a shareholder in 2024 and became a country of operation in July 2025. The Bank’s focus in Benin is to invest in sustainable critical infrastructure, support the modernization and efficiency of enterprises, and strengthen economic governance, all aimed at promoting private-sector development and long-term growth.