Pan-African financier, Trade and Development Bank (TDB), plans to fund green energy projects in East Africa, officials said on Tuesday.
Michael Awori, executive of lending operations at TDB told Xinhua in Nairobi that his organisation had received lines of credit from a number of institutions.
According to Awori, these institutions include Export-Import Bank of China for onward lending to support various green projects in East Africa.
“We are looking to finance renewable energy projects.
“This will make us increase our energy portfolio with a heavy focus on geothermal, solar, wind and hydropower,’’ he said during the Kenya roadshow for the upcoming second edition of the Africa Investment Forum.
TDB said that it is currently in talks to provide debt finance to two independent power producers.
“These two producers have been contracted by Kenya’s Geothermal Development Company to develop a total of two 35mw geothermal power plants as part of the Menegai geothermal power plant project,’’ TDB said.
Awori said that Kenya and Ethiopia had significant geothermal resources which are largely untapped.
“It makes sense to finance development of geothermal power because it is a cost-effective source of power and also because it helps to reduce emission of green-house gases,’’ he said.