The Governor of the Central Bank of Nigeria (CBN), Mr Godwin Emefiele, has revealed that the N15 trillion Infrastructure Corporation of Nigeria (Infraco) Plc would commence full operation by the third quarter of 2021.
This is as the Federal Government has approved the selection of 4 asset managers for the infrastructure funds.
The CBN Governor disclosed this at the investors’ webinar organized by the Bureau of Public Enterprises in conjunction with the Nigerian Exchange Group (NGX) and the Nigerian Investment Promotion Commission.
“Work has indeed attained an advanced stage and we have received the approval of the Chairman of the Steering Committee, the Vice President, Prof. Yemi Osinbajo, for the approval of the appointment of KPMG as the transaction advisers and only recently we also obtained approval for the appointment of asset managers.
“So, following conclusions of these arrangements and further activities, I like to assure all of us that the Infrastructure Corporation of Nigeria is expected to begin full operation by the third quarter of 2021.
“We believe that through a partnership with the private sector, Infraco will be able to leverage close to N15 trillion over the coming years to close the country’s infrastructure gap.
“I’m happy to acknowledge that the establishment of the Infrastructure Corporation of Nigeria has generated a lot of interest from both local and international private fund managers, who are keen to work with the promoters in deploying private sector capital to support investment in key infrastructure in Nigeria,” Emefiele said.
The CBN boss said investments in rail, road infrastructure, manufacturing, agriculture and other areas with significant potential are imperative to transform the growth trajectory of the nation’s economy.
“Giving the current funding constraints of the Federal Government, leveraging funds from the private sector with the ability to provide operational and technological know-how in improving the productivity of critical and moribund assets of the government is extremely essential.
“Furthermore, these investments by the private sector in energy, road and rail assets can significantly reduce the cost of doing business in Nigeria while supporting increased investment of our economy,’’ he added.
The eventual commencement of full operations by the Infrastructure Company will help reduce the infrastructure deficit and boost infrastructure investments to stimulate economic growth.
The CBN Governor, Mr Godwin Emefiele, had earlier this year, said that the government needs to be innovative in its approach to developing infrastructure in the country and believes that InfraCorp will be a major game-changer in this regard.