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The headquarters of the African Development Bank (AfDB) pictured in Abidjan, Ivory Coast
The African Development Bank (AfDB) has approved a loan worth over $470 million (R8.26 billion) for South Africa’s Infrastructure Governance and Green Growth Programme.
The bank says this is an important step in the country’s transition toward a sustainable and low carbon economy.
The programme is the second phase of the bank’s strategic support for South Africa’s Just Energy Transition.
It also builds on the success of the $300 million (R5.27 billion) energy governance and climate resilience programme approved in 2023.
The African Development Bank Group has approved a $474.6 million loan for South Africa’s Infrastructure Governance and Green Growth Programme. This financing marks a significant milestone in the country’s transition toward a sustainable & low-carbon economy. #sabcnews #AFDB
— Khayelihle Rafiq Khumalo-James (@KhayaJames) July 1, 2025
Moreover, Finance Minister Enoch Godongwana says this initiative will enhance energy security, support a low carbon, just transition and improve transport efficiency.
The Minister adds that the African Development Bank Group’s support has been valuable.
The Bank says this approval represents more than financing, it’s a blueprint for Africa’s energy future and South Africa’s success in building a just, green, and inclusive energy system demonstrates that sustainable development and economic growth can go hand in hand.
Recent estimates from the IMF show that South Africa’s Just Energy Transition could boost the country’s GDP growth by 0.2 to 0.4 percentage points annually between 2025 and 2030.
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