Nigeria requires Capital market to fund infrastructure – Osinbajo

Nigeria needs the capital market to raise long-term funds necessary for infrastructure funding, Vice President, Prof. Yemi Osinbajo, has said.

Osinbajo, who stated this at the Second Capital Market Stakeholders’ Forum organised by joint Senate and House of Representatives Committees on Capital Market and Institutions in Abuja, yesterday, said: “Given that capital is extremely important for business, it implies that the Nigerian capital market would be very important in enabling businesses to take advantage of the various opportunities that have been created by government to access capital, both long and short.

“The necessity for stable, long-term funds for the actualization of the vision of economic growth and development, therefore, places Nigeria’s capital market in a unique and strategic position for which it must be prepared.”

Osinbajo Also speaking, Acting Director-General, Security and Exchange Commission, SEC, Ms. Mary Uduk, noted the huge financing gap in the nation’s infrastructure sector.

She said: “Recently, Nigeria issued the N100 billion Sukkuk to finance 25 road projects and also Green bonds to finance afforestation, renewable energy and provision of clean energy.”

“Opportunities also exist to issue revenue bonds to finance revenue generating projects which will exert less pressure on government budget and allocation.

“The Nigerian bond market therefore, has the potential to close the country’s huge infrastructure deficit, estimated at $350 billion in 2013.

Credit: Vanguard news