The Governor of the Central Bank of Nigeria, Mr Godwin Emefiele, said on Tuesday that the Infrastructure Corporation of Nigeria (Infraco) Plc would commence full operation by the third quarter.
Emefiele said this at the investors webinar organised the Bureau of Public Enterprises, in collaboration with the Nigerian Exchange Group (NXG) and the Nigerian Investment Promotion Commission.
The governor said the the corporation, recently approved by President Muhammadu Buhari, with a capital base of N15 trillion would be fully operational before the end of third quarter.
Emefiele also said KPMG had been appointed as the transaction advisers for the Corporation.
“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 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,” the governor said.
He noted that the apex bank, with key stakeholders such as the International Finance Corporation and the Nigerian Sovereign Investment Authority, secured the approval of the president to establish Infraco to raise private sector capital to support investment in key infrastructure in Nigeria.
“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,” he said.
According to him, 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 technologically know how in improving the productivity of critical and moribund assets of the government is extremely essential.
“Further more, 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,” Emefiele added.
Also speaking, Group Chief Executive Officer, NXG Plc, Mr Oscar Onyema, said the capital markets existed to enable efficient allocation of resources to spur growth and development.
Onyema who noted that tax was eliminated on stock market transactions in most jurisdictions around the world called for further extension of tax waiver on capital market transactions.
He said the exchange would continue to reduce transaction costs and boost market participation for investors.
The News Agency of Nigeria (NAN) reports that the theme of the webinar was: “Showcasing the investment opportunities in Nigeria’s privatisation and economic reform programme.” (NAN)