Trade ministry to launch $10bn Nigeria Diaspora Fund aimed at boosting investment

NIGERIA'S federal government has announced the launch of a $10bn multi-sectoral investment opportunity to be known as the Nigeria Diaspora Fund (NDF) to encourage remittances and attract investment into the country.

Aimed at attracting diaspora investment and facilitating philanthropic endeavours with a view to supporting key sectors crucial for Nigeria’s economic growth, the fund is being launched by the Federal Ministry of Industry, Trade, and Investment (FMITI). It came about after extensive consultations with stakeholders in the capital markets, the investment community, and diaspora investors.

To reach thus point, a committee was formed to conceptualise and develop the structure of the NDF, which aims to attract private sector and foreign direct investment into Nigeria. Doris Uzoka-Anite, Nigeria's minister of trade and industry, called on eligible firms to express their interest in managing the fund, which will be guided by an advisory board comprising of limited partners.

Ms Uzoka-Anite said: “The fund will be managed by fund managers that satisfy the criteria set out in the expression of interest. These fund managers will propose fund structures that will focus on various sectors and stages of investments.

“Subject to the preferences indicated by fund managers, the fund will contain multiple investment platforms designed to offer investors different mechanisms for participating in Nigeria’s economic transformation. This fund is a way of encouraging remittances, attracting investments and facilitating philanthropic endeavours aimed at supporting various sectors such as infrastructure, healthcare, education and entrepreneurship in Nigeria.

“The launch of the diaspora fund is part of broader efforts to strengthen ties between Nigeria and its diaspora, promote national development, and harness the potential of the diaspora community as agents of change and development for Nigeria. The national launch of the diaspora fund will serve as an opportunity to raise interest in and awareness of the fund, towards mobilising capital investment from the diaspora community.”

She added that the fund managers will be responsible for designing investment platforms focused on various sectors such as infrastructure, healthcare, education, and entrepreneurship. This launch of the fund underscores the government’s commitment to strengthening ties with its diaspora community, recognising them as pivotal agents of change and development to catalyze Nigeria’s economic development and empower citizens residing abroad to actively participate in driving the nation’s economic growth.