According to Bloomberg, Nigeria is planning to set up a $10 billion diaspora fund to attract investment from its citizens living abroad to support critical sectors including infrastructure, health care, and education to grow the economy.
Details
Nigeria’s Ministry of Industry, Trade and Investment is seeking bids from asset managers to set up the fund.
The “fund is part of broader efforts to strengthen ties between Nigeria and its diaspora, promote national development, and harness the potential” of its nearly 20 million citizens living abroad as “agents of change and development for Nigeria,” the ministry said.
The Big Picture
Nigeria has introduced reforms to attract investors back into the economy and support the naira, which has lost more than 60% of its value since June.
They include relaxing foreign-exchange controls, easing rules on international money transfers and reducing the gap between the central bank’s policy rate and yields on the short-dated paper it sells at auctions.
By The Numbers
According to data, Nigeria was the top country to receive remittance inflows in 2022 with $20 Billion.
Zoom Out
The proposed asset offering could take the shape of infrastructure, credit and venture capital funds, the ministry said. Interested firms, including joint ventures and greenfield funds, are encouraged to apply by May 6, the ministry said.
Source: Bloomberg
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