The Federal Government has begun discussions with the International Finance Corporation, a member of the World Bank Group, on policy strategies to leverage the capital market and other funding options for infrastructure development through Public-Private Partnerships.
This was the focus of a meeting between the Infrastructure Concession Regulatory Commission and the World Bank team, which conducted a fact-finding mission on developing and unlocking Nigeria’s capital market.
This was disclosed in a statement signed by the acting Head, Media and Publicity, Ifeanyi Nwoko, on Sunday in Abuja.
Speaking during the meeting, Dr. Jobson Ewalefoh, emphasized that the visit could play a crucial role in transforming Nigeria’s infrastructure development landscape.
He stated that unlocking the capital market to fund PPPs was central to his innovative financing policy agenda.
Following the technical meeting, Ewalefoh reiterated that funding is crucial for infrastructure development, and unlocking the capital market would be a significant milestone.
“The World Bank and IFC were here to see what we can do in unlocking the potentials of the capital market in funding infrastructure development. We deliberated on the opportunities, the challenges and the importance of having access to the huge funds available in the capital market to fund infrastructure.
“In my deliberation, I focused more on the potential for investors to invest in Nigeria based on the viability and bankability of projects in Nigeria.
“At the end of the day, we agreed that viability is not a problem but there are other risks that investors were weary of and also the lack of information about the opportunities that abound in Nigeria as a key investment destination,” he said.
He, however, called on the World Bank to provide greater support for Nigerian government agencies through funding and capacity development to generate more viable project pipelines.
Meanwhile, the leader of the World Bank delegation, Patricia Canziani, stated that the meeting aimed to gather information to facilitate the introduction of the bank’s Joint Capital Markets Programme in Nigeria.
“The purpose of our visit is to introduce the J-CAP programme, which we have introduced to 20 countries Worldwide, and the purpose of the programme is to work together with the stakeholders in Nigeria and identify ways to support the development and roles of the capital market in Nigeria
“The capital market holds many opportunities for funding PPP. The Nigerian capital market already has different products, but we can support the development of newer products in the country,” she said.
She praised the ICRC for its role in regulating PPPs and encouraged collaboration with other stakeholders to develop new financial products and strengthen investor confidence.
