FG Brainstorm on how to unlock Local Private Investments using WIIF


In a bid to address the barrier prevailing in the investment markets in the Country, the Federal Government has arranged for a high-level round table meeting towards the establishment of the Nigerian Wholesale Impact Investment Fund (WIlF) as a veritable instrument to unlock local private investments using capital from public sources for sustainable funding of enterprises with social and environmental relevance.

Speaking during the round-table meeting that took place at the Osun- Lagos Hall, Transcorp Hilton, Abuja, recently, the Minister of Finance, Budget, and National Planning, Mrs. (Dr.) Zainab Shamsuna Ahmed, CON said that the meeting is the formal announcement of our financial commitment to the Wholesale Impact Investment Fund (WIIF) and flag-off for engagement with a wider array of stakeholders.

Dr. Zainab pointed out that at the heart of the National Poverty Reduction and Growth Strategy 2021 is the need for broad-based collaboration in curbing the rate of decline into poverty in Nigeria. The stakes are high and the task requires concerted action in lifting 35 million Nigerians out of poverty as earmarked for the Medium Term, 2021 – 2025. The value proposition and benefits to be derived in instituting a Wholesale Impact Investing Fund thus present a compelling case for diversification of our approaches for social investments in terms of its:
– guarantee for lower deal origination cost;
– accountable governance structure;
– potentials to catalyze private capital for social
investments; and
– conformity to the orientation for financing the National Development Plan, 2021 – 2025 through the private sector; to mention a few.

Earlier in his remarks, the Minister of State Prince Clem Agba Ikanade said that the Federal Government through the Ministry of Finance, Budget and National Planning in collaboration with relevant stakeholders, commits to provide at least 50% of the seed capital for the take-off of the Nigerian Wholesale Impact Investment Fund. More than ever before, it is important to facilitate Public –Private initiatives in fueling a just and equitable society. To this end, Government shall harness opportunities to draw in more mainstream investors that have the potential to bring in massive sums of capital and focus on maintaining market integrity as the impact investing ecosystem develops.FG Brainstorm on how to unlock Local Private Investments using WIIF

Prince Clem pointed out that the Government realizes that the effects of the COVID-19 Pandemic and other unfavorable global economic trends including fall-outs of the Russia-Ukraine crisis tended to diminish the impact of the efforts for improved social well-being, there is no gain in saying that implementation of the initiatives was without fundamental challenges. Some of these other challenges relate to the limitations in the application of the Social Register evidence-based based decisions; uncomplimentary action or support by the Sub-National Government; as well as, and weak institutional incentives and accountability mechanisms for the implementation of social investment schemes, mentioned. As such, the National Poverty Reduction and Growth Strategy 2021 was introduced for effective coordination and integration of schemes to address the multidimensional facets and rate of poverty, especially at the grassroots.

Speaking further, Ikanade noted “I wish to call on investors to look around them for the challenges facing their communities and consider how capital can be directed to generate long-term solutions through the Nigerian Wholesale Impact Investment Fund. We are all invited to explore ways to increase impact investing activity in terms of growing market, advancing portfolios, and deepening the impact of each investment. I understand that the Technical Committee for Establishment of the Fund is scheduled to give us a highlight on how we can all be involved in the process”.

Agba said that based on the National Social Protection Policy (2017), the Administration of His Excellency President Muhammadu Buhari has implemented various intervention programs for increased investment and participation within the social protection space. The Government demonstrated its resolve through the annual appropriation of funds commencing with N500 billion in 2016 for activities with bearing in the areas of employment, improved school enrolment as well as poverty reduction. As this Administration comes to its end, over N1.5 trillion had been committed to various social investment schemes with various outcomes and lessons for better delivery of policy initiatives, going forward.

ln his remarks, the Permanent Secretary, Finance/ Chairman of the WIIF Finance Committee, Mr. Aliyu Ahmed lauded the Stakeholders for their continuous support and collaboration with the Ministry in addressing many challenges facing the investing markets sub-sector in Nigeria.

In attendance was the Founder/Principal Partner at Nextier; Mr. Patrick Okigll among other Stakeholders.

Olatunji Modupe
Senior Information Officer
For: Director, Information (FMBNP)