Nigeria Infrastructure Fund
The Nigeria Infrastructure Fund (NIF) is one of three distinct and ring-fenced funds managed by the Authority. It focuses entirely on domestic investments in certain sectors of the Nigerian economy, some of which include motorways, healthcare, power and agriculture.
The Fund’s mandate is to catalyse growth in the stock of infrastructure assets in the country. Unlike the SF and FGF – the Authority’s other core funds, which are outsourced to external fund managers – the NIF is managed by an in-house team of investment professionals tasked with identifying infrastructure investment opportunities, facilitating project development for potential investments, and recommending projects for investment to the Board.
The Nigeria Infrastructure Fund (NIF) aims to invest in domestic infrastructure projects that meet targeted financial returns and contribute to the development of essential infrastructure in order to stimulate the growth and diversification of the Nigerian economy, attract foreign investment and create jobs for Nigerians. Potential areas for investments include healthcare, transportation, energy and power, water resources and agriculture, amongst others. The Authority may invest up to a maximum of 10% of the funds in NIF in social infrastructure projects, which promote economic development in underserved sectors or regions in the country.
Nigeria Infrastructure Fund
Current Allocation & Size
40% / USD 1 Billion
Expected Avg. Annualized Returns
US CPI + 300 BPS
Strategic Asset Allocation
- Industrialisation
- Climate & Sustainability
- Technology & Innovation
- Transportation & Logistics
- Services
Investment Horizon
Short Term
2025 PERFORMANCE
The NIF returned 14.55%, exceeding its policy target of US CPI + 3%, which returned 6.03%, by 852bps.
Mandate / Recent Investments
- Gas Industrialisation: Co-developing a US$1.4 billion Ammonia Plant with OCP of Morocco
- Technology: Set up a US$200 million innovation fund for investments in Information technology in Nigeria
- Agriculture: Sponsored new local currency-denominated agriculture fund with 10bn seed capital.
- Healthcare: Invested US$202 million in Cancer treatment and development of diagnostic centres in Nigeria.
Strategic Framework & Approach
In pursuit of the objectives of the NIF, a Five-Year Infrastructure Investment rolling plan (the Five-Year Plan) has been prepared to provide strategic guidance for NIF investments. Furthermore, an Infrastructure Fund Investment Policy Statement (IPS) was also developed. The IPS provides an investment framework for the NIF, setting out the NIF’s investment objectives, risk tolerance and constraints. The IPS was adopted by the Board of Directors in Q4 2013.
The NSIA infrastructure strategy is anchored on three pillars:
- Direct investment in infrastructure projects or companies.
- Co-investment strategy via the establishment of co-investment funds.
- Creation of institutions that support infrastructure development.
The Authority received an additional contribution of US$250 million from the Federal Government in 2020. In accordance with its fund allocation, 50% of the new contribution (US$125 million) was allocated to the NIF for domestic investments in selected infrastructure sectors.
The Five Year Rolling Plans
In accordance with the NSIA Act, each year, a Five-Year Infrastructure Investment rolling plan is to be developed pursuant to such strategies, regulations, policies, and guidelines as it may determine to be most effective to achieve its objectives.
These objectives include supporting, through investment predicated upon financial returns to NSIA, the development in Nigeria of essential infrastructures such as power generation, distribution and transmission infrastructure, healthcare infrastructure, real estate, agriculture, transport infrastructure, and water resources infrastructure, amongst others. This is to stimulate the growth and diversification of the Nigerian economy, attract foreign investment and create jobs for Nigerians.
Thematic Investing
By targeting critical thematic sectors with strong growth and impact potential that are aligned with future trends, we believe our investment can potentially achieve higher returns and support areas we believe in. This strategy emphasizes our commitment to long-term growth and innovation.
Climate & Sustainability
Transportation & Logistics
Industrialisation
Services
