Nigeria Backbone Infrastructure Limited has made a significant announcement regarding its intention to invest a substantial $172 billion into various sectors within the country over the next two decades. These sectors encompass mineral resources, energy, agriculture, housing, and transportation. The investment will be facilitated through alternative financing options, representing a noteworthy stride towards closing the infrastructural gap in Nigeria.
The administration of President Bola Tinubu has been outspoken about its dedication to attracting foreign direct investment and promoting alternative financing for critical infrastructure projects. The government’s endeavours have already resulted in securing $30 billion in commitments from foreign investors, as reported by the Minister of Industry, Trade, and Investment, Doris Aniete. Despite these commitments, it is estimated that Nigeria will require a staggering $3 trillion over the next 30 years to address its infrastructural needs, as outlined in the National Integrated Master Plan.
Henry Owonka, the Group Chief Executive Officer, has conveyed that Nigeria Backbone Infrastructure Limited, in partnership with foreign counterparts, is seeking approval for a joint venture model to facilitate the planned investment. Owonka emphasized the company’s alignment with the current administration’s infrastructure plan and its preference for a consistent influx of investment over isolated investments, particularly in the mining sector.
The company has expressed its keen interest in investing in a wide range of commodities and has proposed a joint venture model to attract investors from both local and international domains. Additionally, Nigeria Backbone Infrastructure Limited is prepared to allocate $4 billion towards mineral resources exploration, provided that accurate data is made available. This initiative strives to reduce the country’s reliance on crude oil and establish a new source of revenue.
Clement Kwegyir-Afful, Chief Operations Officer, has underscored the company’s commitment to supporting the government in narrowing the infrastructure gap without the need for sovereign guarantees. This investment drive will concentrate on addressing the energy gap through renewable energy solutions and innovative financing methods.
The extensive investment plan, amounting to $172 billion over the next 22 to 23 years, will be divided into phases, focusing on projects that exert a substantial impact on Nigeria’s infrastructure. These projects encompass the development of hospitals, renewable energy initiatives, mineral exploration and exportation, as well as the construction of deep-sea ports.
The investment proposition by Nigeria Backbone Infrastructure Limited presents a significant opportunity for the country to address its infrastructural needs and diversify its sources of revenue. By partnering with both local and international investors, and deploying innovative financing strategies, the company aims to stimulate sustainable development and bolster the government’s aspirations for economic growth and stability.
It is evident that this ambitious investment initiative has the potential to transform Nigeria’s infrastructure and contribute to its long-term prosperity. With careful planning and strategic implementation, the country can harness these investments to create a more robust and diversified economy.