Oluwatoyosi ADEKOYA
Micheal ADEYANJU
| Abstract: | Energy security is a pressing issue in Nigeria, where ongoing challenges like poor infrastructure, reliance on fossil fuels and limited access to sustainable financing are holding back the development of a developed and robust energy system. This paper analyzes the impact of various investment and financing strategies by focusing on foreign direct investment (FDI), green bonds, and development finance, which are all within the framework of the global energy transition. Using a political economy perspective and backed by secondary data from both international and national sources (World Bank World Development Indicators (WDI), African Development Bank (AfDB), Central Bank of Nigeria (CBN), Nigerian National Petroleum Company (NNPC), International Energy Agency (IEA), the study explores how financial inflows, public-private partnerships and international climate funds can affect Nigeria’s efforts to diversify and sustain its energy resources.The results show that while Nigeria has successfully drawn in significant investments in oil and gas sector, funding for renewable energy is still lacking due to regulatory uncertainties, infrastructure challenges and limited access to green finance options. The research highlights the importance of strengthening institutional frameworks, enhancing financial transparency and promoting regional cooperation as vital steps toward improving energy security. In conclusion, the paper believes that when aligning investment strategies with climate and security objectives is a way that could position Nigeria as a key player in Africa’s energy transition and support long-term economic stability. |
| Keywords: | energy security, financing mechanisms, investment, Nigeria |