What Do Power Cuts Reveal About Doing Business in The Gambia?

Can The Gambia Fix Its Electricity Problem and Unlock New Business Opportunities?

Imagine running a business in a country where electricity can disappear for up to 48 hours. Your refrigerators stop working, customers cannot be served properly, equipment sits idle, and every hour without power comes with a cost.

For many businesses and households in The Gambia, this became a reality in 2026. By September, frustration over months of prolonged power cuts had moved from homes and workplaces into the streets.

So, how did an electricity problem become a national issue?

The disruptions began months before the September protests. The National Water and Electricity Company (NAWEC) attributed the shortages to rising electricity demand, high temperatures, fuel supply challenges and limitations on electricity imports. Technical problems and maintenance affecting ageing generators also contributed to the situation.

The underlying challenge is that The Gambia has struggled to generate enough electricity to consistently meet demand. An International Monetary Fund assessment published in 2025 noted that the country’s electricity system lacked sufficient generation capacity. It also highlighted its dependence on imported electricity and power purchased from external suppliers.

This dependence matters because when domestic generation falls or imported supply becomes constrained, the country has limited room to maintain a stable electricity supply.

What happens when electricity shortages affect businesses?

The consequences go beyond inconvenience.

In fishing communities such as Tanji and Tujereng, residents reported that the lack of electricity affected their ability to produce and preserve ice, putting fish catches and livelihoods at risk. Shops also faced closures, while households dealt with spoiled food and sleepless nights during the hot season.

For businesses that depend on refrigeration, machinery, digital systems or consistent operating hours, prolonged outages can mean lost inventory, additional operating expenses and reduced customer confidence.

A business may invest in generators or alternative power sources to remain operational, but these solutions introduce additional costs. Smaller businesses, with fewer financial resources, may find it particularly difficult to absorb them.

The crisis also raises a bigger question: Can a country attract investment and expand its economy when businesses cannot depend on basic infrastructure?

For manufacturers, hotels, food processors and other electricity-dependent businesses, reliable power is part of the cost of doing business. Investors evaluating The Gambia must consider not only access to customers and labour, but also whether infrastructure can support daily operations.

The September protests brought these concerns into the political spotlight. Demonstrators took to the streets around Banjul and neighbouring communities, with police using tear gas to disperse crowds. President Adama Barrow promised additional generation capacity, including a 24-megawatt generation unit and a proposed 50-megawatt solar plant. Following the unrest, authorities also announced that protests would require official permits.

Is there an opportunity to turn the crisis around?

There are signs of investment in additional supply. On October 5, 2026, NAWEC announced the arrival of two new generators with a combined capacity of 21 megawatts. Installation and commissioning were expected to be completed by the end of October.

However, adding generation capacity is only part of the solution. The country also needs reliable infrastructure, regular equipment maintenance, sufficient fuel supplies and a more resilient energy mix.

This creates opportunities for businesses and investors in renewable energy, solar installations, energy storage, power infrastructure and industrial energy solutions. It also highlights the importance of partnerships that can strengthen electricity generation and distribution.

The Gambia’s experience offers a wider lesson about doing business in African markets: economic opportunity depends not only on demand or available resources, but also on the infrastructure that allows businesses to operate consistently.

The question is no longer simply when the lights will come back on. It is whether The Gambia can build an electricity system that businesses, households and future investors can depend on.

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