Ghana to receive $260 million from the World Bank to support its energy policy and promote clean cooking solutions

The World Bank has granted Ghana $260 million in financing to support the country’s energy policy, particularly with regard to the reforms it is implementing to strengthen its energy sector and promote clean cooking solutions.

According to information relayed on Friday 28 June, this investment includes $250 million in credits from the International Development Association (IDA), a member of the World Bank Group, in addition to a $10 million grant from the Energy Sector Management Assistance Programme.

Together, these funds are intended to improve the efficiency of Ghana’s energy sector, specifically targeting revenue generation and addressing the challenges associated with electricity distribution.

“Through this results-based financing, the World Bank is committed to supporting Ghana’s energy sector recovery and financial sustainability,” said Robert Taliercio, World Bank Country Director for Ghana, Liberia and Sierra Leone.

The funds also aim to increase access to more affordable clean cooking solutions in Ghana. In a study published in March 2024, the International Journal of Energy Economics and Policy (IJEEP), an international academic journal, stresses the need to accompany the use of clean cooking solutions in Africa with “poverty reduction and development measures”.