Nigeria, World Bank to unlock capital market for infrastructure development
BY MOTOLANI OSENI
The Federal Government of Nigeria is collaborating with the International Finance Corporation (IFC), a member of the World Bank Group, to explore capital market funding for infrastructure projects through Public-Private Partnerships (PPPs).
This was disclosed in a statement by Ifeanyi Nwoko, Acting Head of Media and Publicity at the Infrastructure Concession Regulatory Commission (ICRC), on Sunday in Abuja.
During a meeting between the ICRC and IFC, discussions centred on leveraging Nigeria’s capital market to finance critical infrastructure. ICRC Director-General, Dr Jobson Ewalefoh, highlighted the potential of alternative financing mechanisms, stressing that unlocking the capital market is key to his innovative financing policy agenda.
“The World Bank and IFC are assessing ways to tap into the capital market to fund infrastructure. Our discussions focused on investment opportunities, potential risks, and strategies to attract investors,” Ewalefoh said.
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He emphasised that Nigeria’s infrastructure projects are viable, but concerns over risks remain a major hurdle for investors. He urged the World Bank to enhance support for government agencies by providing funding and capacity development to strengthen Nigeria’s project pipeline.
World Bank delegation leader, Ms Patricia Canziani, stated that the meeting was aimed at introducing the bank’s Joint Capital Markets Programme (J-CAP) to Nigeria. She noted that the initiative, already implemented in 20 countries, seeks to develop capital markets and expand financing options for infrastructure.
“The Nigerian capital market has existing financial products, but we can support the development of new ones to enhance funding for PPP projects,” Canziani said.
She commended the ICRC’s role in regulating PPPs and called for greater collaboration among stakeholders to build investor confidence.
The IFC’s engagement with the ICRC is part of a broader series of meetings with key government and private sector players to advance Nigeria’s capital market.
In a related development, the Securities and Exchange Commission (SEC) recently highlighted blockchain technology as a tool to improve transparency and efficiency in Nigeria’s capital market. SEC Director-General, Dr Emomotimi Agama, noted that digital ledger technology could address financial exclusion and regulatory inefficiencies, paving the way for a more robust capital market framework.
