Govts, Private Sector Seek New Funding Models at Abuja Infrastructure Dialogue
Michael Olugbode in Abuja
Nigeria’s infrastructure financing crisis took centre stage at the 2026 Infrastructure Dialogue held in Abuja, where top government and private sector leaders warned that the country’s widening infrastructure gap — estimated at $2.3 trillion — can no longer be addressed through traditional public funding alone.
The event, organised by Deutsche Partners Holding (DPH) at the Shehu Musa Yar’Adua Centre, brought together policymakers, investors, and development experts to explore sustainable financing solutions under the theme: “Building Nigeria’s Future: The Strategic Role of DFIs and Capital Markets in Infrastructure Financing and Economic Development.”
The Director-General and Chief Executive Officer of the Infrastructure Concession Regulatory Commission, Dr. Jobson Oseodion Ewalefoh, delivered a goodwill message and policy update, warning that Nigeria faces a severe infrastructure shortfall across transport, energy, ICT, agriculture, aviation, and housing sectors.
He disclosed that Nigeria requires about $100 billion annually for infrastructure development, while government spending currently covers less than 30 per cent of the need.
“Traditional procurement models and dwindling budgets are no longer enough. To bridge this gap, the mobilisation of private capital is not just an option—it is an absolute necessity,” he said.
Ewalefoh said Nigeria has fully embraced Public-Private Partnerships (PPPs) as a strategic alternative to conventional procurement, describing them not just as financing tools but as “catalysts for infrastructure renewal, economic growth, and poverty alleviation.
He urged stakeholders to shift focus from identifying problems to executing bankable solutions, stressing the importance of Development Finance Institutions (DFIs) in de-risking projects and capital market instruments such as Sukuk, green bonds, and pension funds in unlocking long-term financing.
Ewalefoh also outlined recent reforms aimed at improving Nigeria’s investment climate, including updated PPP guidelines issued in August 2025.
A key feature of the reform was the decentralisation of approval powers: Ministries can now approve projects up to N20 billion, while agencies and parastatals can approve up to N10 billion, with larger or multi-agency projects still requiring Federal Executive Council approval.
He said the reform was already accelerating project delivery, improving transparency, and strengthening investor confidence.
The ICRC boss further revealed that a model PPP agreement, developed in collaboration with the Federal Ministry of Justice and PPP experts, would be unveiled in June 2026 to reduce transaction delays and speed up commercial and financial closure of projects.
He also announced plans to publish an updated national PPP project pipeline to guide investors and improve project visibility across sectors.
Ewalefoh reaffirmed that the commission was not only regulating PPPs but actively building a structured marketplace where private capital participation is secured and public interest is protected.
He noted that the federal government’s 2025 Nigeria PPP Summit—hosted by President Bola Ahmed Tinubu—reinforced PPPs as central to delivering the administration’s Renewed Hope Agenda and bridging Nigeria’s long-term infrastructure gap.
Earlier, President of the Abuja Chamber of Commerce and Industry, Dr. Emeka Obegolu, delivered the opening goodwill address and chaired the first day of the dialogue, calling for urgent and coordinated action to unlock infrastructure financing.
Obegolu said infrastructure remains the backbone of every thriving economy, directly influencing productivity, investment, industrial growth, and citizens’ quality of life.
However, he warned that Nigeria’s greatest challenge is no longer identifying infrastructure gaps, but mobilising long-term, sustainable capital to close them.
“For Nigeria, the need for modern and resilient infrastructure has become increasingly urgent. However, beyond identifying infrastructure gaps, the greater challenge today lies in financing—how to mobilise adequate, long-term, and sustainable capital,” he said.
He described the dialogue theme as timely, noting that global experience shows that blended finance, infrastructure bonds, guarantees, and PPPs have helped countries unlock large-scale development financing.
Obegolu urged stronger policy consistency, regulatory clarity, transparency, and investor confidence as key conditions for attracting capital into Nigeria’s infrastructure space.
He stressed that infrastructure investment is critical to economic diversification, job creation, industrial competitiveness, and national resilience, adding that the private sector must play a central role alongside government.
to execution-driven infrastructure delivery.
Stakeholders at the dialogue agreed that without deep structural reforms in financing, project preparation, and investor engagement, Nigeria’s $2.3 trillion infrastructure deficit will continue to constrain economic growth.
