SAT 17 JULY, 2021-theGBJournal- During a webinar organised by the Bureau of Public Enterprise (BPE) and the Nigerian Export Promotion Council (NEPC), the Central Bank Governor stated that the NGN15.00 trillion Infrastructural Corporation of Nigeria Limited (InfraCo) would begin full operation in Q3-21.
Recall that the government, early in the year, approved the establishment of InfraCo with a seed capital of NGN1.00 trillion, expecting it would grow to NGN15.00 trillion over time. The FGN has now named the fund managers and transaction advisers for the Corporation.
They are Sanlam Infraworks based in the Netherlands, Chapel Hill Denham, AIIM-a unit of South Africa’s Old Mutual Group and Tripple A, a consortium comprising of Nigerian Investment Bank, Afrinvest West Africa, AfricaPlus Partners and Arc Asset Management.
‘’These are premium African financial services companies, they have tested capacity in offering a broad spectrum of financial solutions. They a top choice for me too,’’ one investment banker in Lagos told theGBJournal.
The Infraco was established as a dedicated privately-managed infrastructure and industrial vehicle for the purpose of harnessing opportunities for Nigeria’s infrastructure development.
According to analysts at Cordros Research ‘’ we regard this as a welcome development that will harness funds from the private sector and help in improving long-term foreign investment inflows to the country and given the substantial infrastructural deficit (estimated at USD3.00 trillion over the next 30 years) in the country, we align with the CBN Governor that it would be difficult for the government to close the gap given the constrained revenue amidst high debt servicing costs.’’
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