NSIA to manage $650m presidential infrastructure fund
The newly established $650m Presidential Infrastructure Development Fund is to be managed by the Nigeria Sovereign Investment Authority.
The NSIA confirmed this in a statement issued by its Communications Adviser, Titilope Olubiyi.
The National Economic Council had approved the $650m seed funding for the establishment of the PIDF.
The statement said the fund was expected to be invested specifically in critical road and power projects across the country.
It also said that approval had been given for the transfer of $650m to the NSIA from the Nigeria Liquefied Natural Gas Dividend Account as seed funding for the PIDF.
The initiative, the statement added, would eliminate the risks of project funding, cost variation and completion that had plagued the development of the nation’s critical infrastructure assets.
Some of the projects currently suffering cost variations over the past few years are the 2nd Niger Bridge, Lagos-Ibadan Expressway, East-West Road, Abuja-Kano Road and Mambilla Hydroelectric Power.
The statement read in part, “This commitment by the President and NEC allows all state governments to own an economic interest in the project companies that will be professionally developed and managed by the NSIA.
“The investments will yield returns, which will diversify revenues to states, improve the fiscal sustainability profile of the federation and ensure that Nigerians benefit from modernised infrastructure for decades to come.”
The Presidential Infrastructure Development Fund, according to the statement, will also secure counterpart funds required for projects being jointly developed with the China Export-Import Bank and China Development Bank.
The statement added that it would assist to mobilise any additional funding required from development partners.