adplus-dvertising
Business News

AFC, NGX Explore Innovative Financing Mechanisms for Nigeria’s Infrastructure Deficit

Infrastructure Fund

With Nigeria’s infrastructure deficit estimated to reach $2.3 trillion to $3 trillion by 2043, there is the need for some innovative financing mechanisms to address this issue.

This was why the Africa Finance Corporation (AFC) partnered with the Nigerian Exchange (NGX) Limited came up with a two-day workshop on November 17–18, 2025, in Lagos.

The event brought together professionals, regulatory agencies, institutional investors, project sponsors, and financial institutions.

They brainstormed on how Nigeria’s capital markets can serve as a critical platform for financing sustainable infrastructure.

Also, participants explored frameworks for project structuring, risk allocation and credit enhancement- tools essential for bringing infrastructure assets to market.

The sessions also examined emerging capital market instruments including green bonds, infrastructure REITs, blended finance structures and partial risk guarantees, highlighting practical pathways to mobilize long-term domestic and international capital for infrastructure.

“Closing the continent’s funding gap requires building local expertise and robust market structures that can support complex, long-term projects.

“At AFC, we are committed to advancing not just project financing, but the full framework required to deliver bankable, sustainable infrastructure solutions.

“Our partnership with NGX reflects our belief that Nigeria’s capital markets can and must play a pivotal role in mobilising the scale of domestic resources required to drive the country’s long-term development,” the Head of Financial Services at AFC, Banji Fehintola, said.

On his part, the chief executive of NGX, Mr Jude Chiemeka, said, “As capital markets assume a more central role in financing Africa’s development, building technical depth across the entire ecosystem becomes essential.

“Through NGX X-Academy, our dedicated capacity-building platform, we are equipping market participants with the specialized knowledge required to originate, structure and manage infrastructure assets that meet both local needs and global investment standards.

“This collaboration with AFC is a critical step in ensuring that Nigeria and the wider region develop the institutional capabilities to attract and deploy patient capital at scale.”