Unlocking Nigeria’s Infrastructure Future: AFC & NGX Launch Power-Packed Capacity Programme

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Olori Uwem

Well-Known Member
Mar 18, 2024
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Unlocking Nigeria’s Infrastructure Future: AFC & NGX Launch Power-Packed Capacity Programme

Africa Finance Corporation (AFC) and the Nigerian Exchange (NGX) have joined forces to tackle one of Nigeria’s biggest challenges — the massive infrastructure funding gap — by strengthening the technical skills of key industry players.

Their newly concluded two-day capacity-building programme in Lagos is designed to deepen expertise in structuring, financing, and delivering large-scale infrastructure projects using the Nigerian capital market as a major funding channel.

Why This Matters

Nigeria’s infrastructure stock is only 30% of GDP, far below the global benchmark of 70%. Experts warn this gap could balloon into a $2.3 trillion deficit by 2043, requiring over $100 billion annually to close.

Strengthening local technical capacity is now critical to mobilising the long-term capital needed for roads, power, transport systems, housing, digital infrastructure, and more.

️ What the Programme Focused On

The workshop brought together:
• Regulators
• Institutional investors
• Financial institutions
• Project sponsors

Participants received hands-on training in:
• Project structuring
• Risk allocation
• Credit enhancement
• Bringing infrastructure assets to market
• Innovative financing tools such as green bonds, infrastructure REITs, blended finance, and partial risk guarantees

These tools are essential for attracting both domestic and international long-term capital.

Key Insights from AFC & NGX

Banji Fehintola, Executive Board Member at AFC, emphasized that solving Africa’s funding gap requires more than financing — it requires deep local expertise and strong market structures. He highlighted that Nigeria’s capital market must play a pivotal role in driving long-term development.

Jude Chiemeka, CEO of NGX, noted that as capital markets take centre stage in financing Africa, building technical knowledge across the market is crucial. Through NGX X-Academy, stakeholders are being equipped to structure and manage infrastructure assets that meet both local needs and global standards.

What’s Next?

The success of this programme marks a major step in the growing AFC–NGX collaboration. Both institutions plan to roll out more initiatives aimed at turning these insights into real, bankable infrastructure projects.

The goal:
Unlock sustainable financing for the roads, bridges, power systems, and critical infrastructure Nigeria urgently needs.