Nigeria Sovereign Investment Authority (NSIA) – managers of the Sovereign Wealth Fund (SWF) – has disclosed that infrastructure and technology multinational, General Electric (GE) will contribute 15 percent in equity in its investment projects.
The CEO of NSIA, Mr Uche Orji disclosed this following a Memorandum of Understanding (MoU) signed by both parties at the WheatBaker Hotel, Ikoyi, Lagos.
According to Business Day Nigeria, the MoU was signed to co-develop and finance infrastructure projects in the healthcare, aviation, transportation and power sectors.
The Nigeria Sovereign Investment Authority was set up by the country’s National Assembly approved “NSIA Act” in 2011 to promote fiscal stability, build a savings base for future generations and enhance the development of Nigeria’s infrastructure.
Under the MoU, GE will act in capacity as an original equipment manufacturer while the NSIA will take on the role of financial investor, working in tandem to achieve strategic and significant objectives of the agreement, through credible private-public partnerships.
“This marks an important milestone for the NSIA in its efforts to enhance the development of infrastructure in Nigeria and encourage foreign investment.” Mr Orji said.
“We look forward to developing a constructive relationship with GE.” He added.
He expressed his hope that the combination of GE’s technical expertise and the NSIA’s financial resources and domestic knowledge will help the NSIA realzie its ultimate goal of prudent investment in Nigerian infrastructure.
The President/CEO of GE Nigeria, Lazarus Angbazo explained that the agreement with NSIA reflects its support for Nigeria’s aspiration for economic transformation and development.
He added that GE is ready to support any transformational project that will provide sustainable development for country.
Investments made under the MoU with GE will be made by the Nigeria Infrastructure Fund (NIF).
The NSIA’s investments are made through three distinct funds – Stabilisation Fund, Future Generations Fund, and the Nigeria Infrastructure Fund.
The Nigeria Sovereign Wealth Fund (SWF) – with seed capital of $1 billion – was set up to invest funds realized from the excess crude savings.