Niger - Energy Sector Competitiveness and Governance Support Program - Phase I (PAGSEC – I)

The proposed operation is a UA 105 000 000 African Development Fund loan to finance the first phase of the Energy Sector Governance and Competitiveness Support Programme (PAGSEC-I). PAGSEC is a two-phase general budget support programme designed to address two core challenges : (i) remove key constraints on economic competitiveness, especially limited access to energy, to support economic recovery; and (ii) strengthen financial governance and transparency, with a focus on strengthening resilience (inclusion of vulnerable population groups, gender considerations, and climate-related factors). PAGSEC-I is the first phase of two programmatic budget support operations covering the 2025 and 2026 fiscal years, with a total indicative envelope of UA 210 million. The programme will be co-financed by the OPEC Fund for an indicative amount of USD 30 000 000, of which USD 15 000 000 will be allocated for the first phase. The programme will be implemented in a challenging context in Niger whose economy and population have been significantly impacted by international sanctions following the 26 July 2023 coup d’état which deposed the Government elected in 2021, and persistent insecurity in several regions.