The World Bank has highlighted the crucial role of affordable and reliable electricity in driving job creation and economic growth across Africa, warning that energy deficits continue to stifle industrial expansion and productivity on the continent.
In a recent blog post titled “Switching on Opportunity: How Electricity Can Transform Jobs in Africa,” the World Bank stated that improved access to electricity could unlock millions of jobs, transform key industries, and reduce poverty.
However, it noted that progress has been slow, with about 600 million Africans still lacking access to power.
“Affordable and reliable electricity is key for firms seeking to scale operations more efficiently in the region,” the Bank said, according to The Punch.
“High electricity costs undermine competitiveness, often forcing businesses to depend on manual processes instead of adopting high-productivity technologies that require more energy.”
The World Bank also warned that unreliable power supply remains a significant barrier to economic growth, with frequent blackouts cutting employment rates by between five and fourteen percentage points.
It emphasized that energy access is now one of the most powerful levers for economic transformation, particularly in sectors such as agribusiness, light manufacturing, mining, construction, healthcare, and tourism.
To address this challenge, the institution announced that it is mobilizing $30 billion through its International Development Association (IDA) over the next five years to support Mission 300—an initiative designed to provide electricity access to 300 million Africans by 2030.
This funding, representing about 20 percent of the World Bank’s total support to Africa, will focus on expanding infrastructure, integrating regional power markets, and attracting private investment through national energy reforms.
The World Bank cited examples of ongoing projects across the continent.
In Ethiopia, over eight million people, along with 19,000 schools, clinics, and government facilities, have been connected to the grid. Don’t Miss This: ImpactHER’s Efe Ukala Recognised for Championing Women Entrepreneurs Globally
In Tanzania, more than 16,000 rural businesses are now linked to electricity through the Rural Electrification Expansion Program, supporting sectors such as food processing and fish farming.
Similarly, Senegal’s Energy Access and Scale-Up Project targets the electrification of 600 health clinics, 200 schools, 700 small and medium-sized enterprises, and 200,000 households—creating new employment opportunities in installation, maintenance, and local supply chains.
In Sierra Leone, mini-grid systems tied to productive activities like milling, cold storage, and digital services are demonstrating the commercial viability of rural electrification.
“These engagements reflect broader efforts across the region to transform the energy landscape with practical solutions that do more than just turn on the lights—they also create jobs at scale,” the Bank said.
According to the report, powering Africa’s industries, health centres, and small businesses is critical to building a stronger, more resilient, and better-skilled workforce capable of sustaining long-term growth.
