Nigeria's pension industry is working to mobilise up to $750 million for infrastructure development through a proposed investment platform backed by domestic pension funds and international development finance institutions.
The Pension Industry Leadership Council (PILC) and UK-funded development agency FSD Africa signed an agreement in Lagos to support the creation of the Nigeria Infrastructure Investment Platform (PIIP), with 19 Nigerian pension funds already expressing interest, FSD Africa announced on November 10.
The proposed platform aims to finance projects in energy, transportation and digital infrastructure across Nigeria and selected regional markets. Its initial fundraising target is $350 million, with the first capital mobilisation expected in 2027.
At full scale, the fund aims to attract approximately $600 million from Nigerian pension funds and at least $150 million from development finance institutions. At least 60% of its investment portfolio is expected to be allocated to projects within Nigeria, while the remaining capital could support selected projects elsewhere in the region.
The initiative will also draw on an infrastructure pipeline that has identified 39 potential projects with estimated investment needs of approximately $20 billion.
Under the agreement, FSD Africa will provide technical and advisory support, including assistance with selecting a fund manager, engaging investors and development finance institutions, and addressing regulatory requirements.
Omolola Oloworaran, chair of PILC and director general of the National Pension Commission, said the initiative would help mobilise long-term domestic savings for infrastructure while safeguarding pension contributors' retirement funds.
The proposed platform is intended to expand the role of institutional investors in financing productive sectors and strengthen Nigeria's capital market. The fund's establishment and capital mobilisation remain subject to further development and regulatory processes.
