The Nigerian government is in discussions with the International Finance Corporation (IFC), part of the World Bank Group, to explore capital market funding options for infrastructure development through Public-Private Partnerships (PPPs).
Ifeanyi Nwoko, Acting Head of Media and Publicity at the Infrastructure Concession Regulatory Commission (ICRC), confirmed the talks in a statement released in Abuja on Sunday. The meeting, which involved the ICRC and the IFC, aimed at unlocking the potential of Nigeria’s capital market to fund infrastructure projects.
Dr. Jobson Ewalefoh, Director-General of the ICRC, highlighted the importance of the World Bank’s visit, noting that it could revolutionise Nigeria’s infrastructure development landscape. He stressed that alternative financing methods, particularly through the capital market, are central to the government’s innovative financing policy.
Following a technical session, Ewalefoh emphasised the significance of capital market funding for infrastructure development. He acknowledged that while Nigeria’s infrastructure projects are viable, investor concerns regarding risks and insufficient information on available investment opportunities have been challenges.
Ewalefoh urged the World Bank to provide more support to Nigerian government agencies in terms of capacity building and funding to create more eligible projects for investment. He also noted that the ICRC is focused on improving communication about Nigeria’s investment potential and streamlining PPP processes to accelerate project delivery.
Patricia Canziani, head of the World Bank delegation, explained that the meeting was part of efforts to introduce the Joint Capital Markets Programme (J-CAP) in Nigeria. She said that the programme, which has been implemented in 20 countries, aims to strengthen Nigeria’s capital market and develop new products that support funding for PPPs.
Canziani praised the ICRC’s regulatory role in the PPP sector and encouraged continued collaboration to build investor confidence and introduce new financial products.
In related news, the Securities and Exchange Commission (SEC) has advocated for the adoption of blockchain technology to enhance the efficiency and regulation of Nigeria’s capital market. Dr. Emomotimi Agama, SEC’s Director-General, highlighted the technology’s potential to address issues like financial exclusion and inefficiencies in the public and private sectors, which could transform the regulatory landscape.
