Financing agreement signed for Benin's electricity project

The Republic of Benin signed a USD 65 million financing agreement with the Arab Bank for Economic Development in Africa (BADEA) on October 13, 2026, for the Electricity Distribution Project (PADSBEE II). The funds will support improvements to the electricity distribution network managed by the Beninese Electricity Company (SBEE).

Project scope and goals

The project aims to extend, densify, and standardize the electricity distribution network across 127 localities in seven departments: Alibori, Atacora, Borgou, the Collines, the Atlantic, Ouémé, and the Plateau. It is expected to improve electricity supply and reliability while connecting 61,127 households, public services, and 4,300 very small enterprises (TPE). The cotton sector is also expected to benefit from these improvements.

Electricity access in Benin

According to World Bank data, 59 percent of Benin's population had access to electricity in 2024. This highlights the need for better infrastructure to increase access, especially in underserved areas. Strengthening the distribution network is considered a key strategy to achieve this goal.

Benin's energy development goals

The funding aligns with Benin's broader energy infrastructure development policy. The International Monetary Fund (IMF) reports that the country aims to raise the electricity access rate to 70 percent and the rate of access to clean cooking solutions to 50 percent by 2030. These targets are part of the Mission 300 initiative, which seeks to accelerate energy access across Africa.

Government planning and cooperation

In January 2026, the Beninese government approved key electricity sector planning documents, including the Electricity Development Plan up to 2045 and the National Electrification Plan. These documents aim to ensure access to quality energy at an affordable cost. During the signing ceremony, officials from Benin and BADEA also discussed expanding private sector financing and trade finance operations, as well as the upcoming National Development Plan.