In the next 22 years, Nigeria’s Infrastructure financing needs will grow to $3trillion, the African Development Bank (AfDB) has projected.
Consequent upon this projection, Nigeria would no longer rely on its yearly budgets to fund infrastructure development, hence the need for partnership with investors through a public-private partnership (PPP) to attract private funds to deliver such projects, the Guardian newspaper reported.
These were the assumptions by the AfDB Senior Director, Nigerian Country Office, Ebrima Faal, in Abuja, Tuesday, at the Bank’s roadshow and interactive session with key agencies of the Nigerian Government on the preparation of some projects in the country to make them bankable and attractive to investors.
This comes ahead of the Bank’s African Investment Forum (AIF), billed for Johannesburg, South Africa, in November.
Already, some projects including the Abuja Integrated infrastructure project (satellite towns and the Bus Rapid Transit); the Eko Atlantic City Project; and the GFD Gas Commercialisation project were selected for preparation and exhibition at the Investment Forum.
Faal observed that over the last decade, and despite impressive growth rates in most of the continent, Africa’s infrastructure needs remain formidable, with annual financing gap between $130 and $107billion annually.
Commenting on Nigeria’s infrastructure, he said: “Cumulative financing needs are estimated to reach $3 trillion by 2044, or about $100billion annually. This is all happening at a time when public sector finances are extremely pressured.”