FG, NSIA to Set up Funding Guarantee Facility to Bridge Infrastructure Financing Gap

Ndubuisi Francis in Abuja 

The Federal Government and the Nigerian Sovereign Investment Authority (NSIA), mangers of the Sovereign Wealth Fund (SWF), have proposed the establishment of a Nigeria Infrastructure Finance and Guarantee Facility (NIFF), a dedicated provider of credit and guarantees for local infrastructure projects.

The proposed NIFF seeks to bridge the infrastructure financing gap by providing a stable source of funding and guarantees for critical projects. 

The move to set up the NIFF was considered when the Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun, met with a visiting delegation from the NSIA to discuss innovative solutions towards addressing Nigeria’s infrastructure financing gap. 

A statement issued Wednesday by the Director, Information and Public Relations, Ministry of Finance, Mohammed Manga, said the NSIA delegation led by its Managing Director and CEO, Mr. Aminu Umar-Sadiq, consisted of Mr. Kola Owodunni, Executive Director and Chief Investment Officer; Mr. Victor Sesere, Financial Controller; Mr. Tolu Adeleke, Partner at PwC, and Ms. Olumorin Motunrayo, Senior Assistant at PwC.

“The meeting, which was held today (yesterday) in his office in Abuja, proposed the establishment of a Nigeria Infrastructure Finance and Guarantee Facility (NIFF), a dedicated provider of credit and guarantees for local infrastructure projects.

“The proposed NIFF aims to bridge the infrastructure financing gap by providing a stable source of funding and guarantees for critical projects. 

“This strategic partnership between the Federal Government and NSIA demonstrates a commitment to driving economic growth and development through innovative financing solutions,” the statement said.