The African country among the world’s poorest that got £15m grant for huge power project

Tyler Mitchell By Tyler Mitchell Mar23,2025

African countries are investing billions of pounds into their energy infrastructure, as they seek to boost economic development across the continent. One country that is hoping to profit from this investment is Eritrea, a state located on the Red Sea coast in northeast Africa.

Eritrea has a troubled recent history and remains one of the world’s poorest countries, with poverty endemic. The country’s government hopes to improve the lives of its citizens with a new power project designed to bring electricity to more settlements. The African Development Bank Group and Eritrea have recently signed an agreement for $19.5million (£15m) in grant funding for the Desert to Power 12MW Mini Grid Project.

The financing will support the rollout of mini-grids that will generate 12MW of electricity across the regions of Teseney (6MW), Kerekebet (3MW), and Barentu (3MW).

“We are proud to say that Africa is working with Africa to bring change to Africa,” Minister Teklemichae said during the signing ceremony.

“This is for the good of our people and we are ready to work with you.”

The project is expected to provide improved energy access to more than 235,000 Eritreans, 20 percent of them women and youth.

Beneficiaries will include residential households, small-scale farms, agro-processing zones, and water supply systems.

The project will additionally benefit over 160 schools and 90 health centres in the Gash Barka region.

Eritrea has the potential to be a major tourist destination in the future, offering visitors a unique experience.

Attractions include fascinating archaeological ruins, beautiful beaches along its long Red Sea coastline, and wildly creative Modernist architecture, much of which were built under Benito Mussolini’s dictatorship during Italy’s occupation.

Much of this modernist architecture can be seen in the country’s capital city Asmara.

Most of it is Art Deco specifically, designed with more flair and creativity than anything built in Europe during the same period.

Stylish cinemas, an opera house and cafes selling espressos and cappuccinos pepper the city centre.

In the suburbs beyond lie chic villas that once belonged to the Italian elite.

Tyler Mitchell

By Tyler Mitchell

Tyler is a renowned journalist with years of experience covering a wide range of topics including politics, entertainment, and technology. His insightful analysis and compelling storytelling have made him a trusted source for breaking news and expert commentary.

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