The Federal Government of Nigeria has appointed 23 fund managers to oversee the $10 billion Nigeria Global Investment Fund (NGIF).
This strategic initiative is designed to attract both international and domestic investments into key sectors of the Nigerian economy, including agriculture, manufacturing, energy, infrastructure, and fintech.
The NGIF is a pivotal component of Nigeria’s broader industrial revitalization strategy, managed by the Federal Ministry of Industry, Trade, and Investment. It aims to reduce the nation’s dependence on oil revenues and foster sustainable and inclusive economic growth.
Structured as an umbrella entity, the NGIF consists of multiple sub-funds dedicated to crucial sectors of Nigeria’s development. This structure ensures that investments are channeled into projects that align with the country’s long-term economic objectives.
The selection of the 23 fund managers was conducted through a meticulous process overseen by the Securities Exchange Commission (SEC). Out of 55 initial applicants, the chosen managers were selected based on their expertise in managing public-sector partnerships, financial stability, international investment capabilities, and commitment to Environmental, Social, and Governance (ESG) principles.
The appointed managers include prominent firms such as AFC, Coronation Asset Management, Stanbic IBTC, AIICO Capital, and FBNQuest Asset Management. Each firm will be responsible for specific sub-funds within the NGIF, which is divided into 14 distinct sub-funds and 49 individual funds, all aimed at driving Nigeria’s economic transformation.
These 14 sub-funds will focus on high-potential sectors such as Automotive/Light Manufacturing, Agriculture, Pharmaceuticals/Healthcare, Oil & Gas, Energy, Fintech/Banking, Heavy Industries, Real Estate, Mines/Solid Minerals, Creative Economy/Tourism, Aviation, Infrastructure, Education, and IT. Each sub-fund is tasked with raising approximately $500 million, contributing to the NGIF’s ambitious goal of mobilizing $10 billion in its initial phase.
This initiative is a key element of Nigeria’s strategy to build a $1 trillion economy within the next decade, as outlined in the Renewed Hope Agenda. Additionally, in April 2024, the Federal Ministry of Industry, Trade and Investment (FMITI) called for expressions of interest from firms to manage the Nigeria Diaspora Fund, another related initiative aimed at creating a $10 billion multi-sectoral, private sector-led investment fund.
Minister of Industry, Trade and Investment, Doris Nkiruka Uzoka-Anite, announced the initiative via her X account, emphasizing the importance of leveraging the financial resources of the Nigerian diaspora to support national economic growth. The application deadline for the Diaspora Fund managers was extended from May 6 to May 13, 2024, to encourage broad participation.
These strategic initiatives represent a significant step in Nigeria’s quest to become a major economic powerhouse, harnessing both domestic and international investments to drive sustainable development and prosperity.
