The International Finance Corporation (IFC) and the Central Bank of Nigeria (CBN) have announced a strategic agreement to expand local currency financing, targeting over $1 billion in investments for Nigeria’s key economic sectors. This move aims to unlock opportunities across agriculture, infrastructure, housing, energy, small and medium enterprises (SMEs), and youth and creative industries.
IFC Managing Director Makhtar Diop and CBN Governor Yemi Cardoso signed the agreement, underscoring the importance of naira-based financing to bolster private businesses and manage currency risks. “Expanding access to affordable local currency financing for small businesses in Nigeria is essential,” Diop said, reinforcing IFC’s dedication to addressing the rising need for diverse funding options within the Nigerian economy.
According to a joint statement, the partnership will enable IFC to enhance its investment in naira across critical sectors, with the goal of injecting more than $1 billion in local currency financing. Cardoso described the initiative as “pioneering,” aligned with Nigeria’s agenda to foster sustainable growth and economic diversification.
Nigeria, which currently holds a $2.13 billion IFC portfolio, ranks as IFC’s second-largest investment destination in Africa. This collaboration highlights the commitment of both institutions to support economic expansion, create jobs, and facilitate long-term, affordable funding essential for Nigeria’s thriving sectors.
