To attract and accelerate the inflow of foreign currency into the economy, the federal government has unveiled a plan to float a $10 billion Nigeria Diaspora Fund. The move is expected to, among other things, improve FX liquidity in the system as well as strengthen the Naira exchange rate.
The Minister of Industry, Trade and Investment, Doris Uzoka-Anite, in a notice shared on her X handle (formerly Twitter), yesterday, revealed that the Nigeria Diaspora Fund Multi-Sectoral Investment Initiative would be designed and managed by fund managers selected through an Expression of Interest (EOI) exercise where winners are expected to emerge. Hence, the ministry has issued an EOI Expression to fund managers to develop and establish a multisectoral, multilateral private sector-led investment fund to form the $10 billion Nigeria Diaspora Fund. Uzoka-Anite explained that the 10-year fund, which would be extendable by two years, offers an expected investment period of three to five years with follow-on investments.
She said subject to the preferences indicated by the managers, the fund would contain multiple investment platforms designed to offer investors different mechanisms for participating in the country’s economic transformation. Uzoka-Anite further clarified that the fund was intended to encourage remittances, attract investments, and facilitate philanthropic endeavours aimed at supporting various sectors including infrastructure, healthcare, education, and entrepreneurship in the country. She noted that the intervention remained part of broader efforts to strengthen ties between Nigeria and its diaspora, promote national development, and harness the potential of The Diaspora Community as agents of change and development for Nigeria.
