Infra-Co: Nigeria’s move to address the infrastructure deficit
President Muhammadu Buhari has approved the creation of a Public-Private Partnership-styled infrastructure corporation called Infra-Co with an initial seed capital of N1 Trillion as part of efforts to resolve Nigeria’s infrastructural deficit.
The entity is expected to rise to N15 Trillion in assets and resources over time.
Infra-Co will fund the development, restoration, and rebuilding of public properties and invest in cutting-edge infrastructure projects for highways, rail, energy, and other main sectors.
A statement released to Vice President Yemi Osinbajo Laolu Akande by the media assistant said Infra-Co will be one of Africa’s leading infrastructure financing companies and will be fully committed to the growth of infrastructure in Nigeria.
It noted that the institution was created by the National Economic Council (NEC) and the Central Bank of Nigeria with model designs. Vice President Yemi Osinbajo was asked by the President to lead a steering committee charged with setting up the company.
The entity’s initial seed funding will come from the Central Bank of Nigeria, the Sovereign Investment Authority of Nigeria, the NSIA, and the Finance Corporation of Africa.
The Board of Directors of Infra-Co will be headed by the Governor of the Central Bank and will include the Managing Director of the Sovereign Investment Authority of Nigeria, the President of the Africa Finance Corporation, members of the Governors’ Council of Nigeria, and the Ministry of Finance, Budget and National Planning, and 3 independent directors from the private sector.
The Buhari administration continues to pursue creative possibilities to resolve Nigeria’s infrastructure gap, including by funding programs such as the Presidential Infrastructure Development Fund (PIDF) for the 2nd Niger Bridge, the Abuja-Kaduna-Zaria-Kano Expressway, and other schemes.
The Road Infrastructure Construction and Refurbishment Expenditure Tax Credit Scheme is also used to finance, among others, the Bodo-Bonny Bridges and Roads (with Nigeria Liquefied Natural Gas, NLNG) and the Apapa-Oshodi-Oworonshoki Expressway (with Dangote Group).
