REA Work With the World Bank And Development Bank Of Zambia In A Landmark Project To Provide Electricity To Rural Communities

The Rural Electrification Authority (REA) is working in collaboration with the Development Bank of Zambia (DBZ) to launch an off-grid loan facility to increase access to electricity in rural areas.

 The new initiative has been supported by the World Bank.

 The Energy Minister, Peter Kapala, has praised the project as a boost for private sector-led electrification within rural communities.

The project is the first of many that the DBZ is working in order to provide solutions to social, economic and environmental problems.

DBZ’s Managing Director, Maybin Muyawala said that the bank will manage US2.5 million of credit for projects in the private sector, this will be accessed through the Zambia National Commercial Bank (ZANACO).

During the opening event in Lusaka, he explained that DBZ and ZANACO would work closely to facilitate projects that support private-sector-led energy provision in Zambia and create a robust pipeline to unlock further investments in the sector.

He said, “ESAP Credit Line Facility is the Bank’s first credit facility specifically targeted for renewable energy projects, which is an important achievement for the Department of Energy, REA, ZANACO, World Bank and DBZ in supporting the government’s effort to increase energy access.”