LAGOS, April 26 (NewsEyesdaily) – Nigeria has announced its search for fund managers to oversee a planned $10 billion diaspora fund aimed at attracting significant dollar inflows and foreign investment into the country’s economy, according to a tender document.
The fund seeks to consolidate billions of dollars remitted monthly by Nigerian citizens abroad, channeling these funds into local investments such as infrastructure, healthcare, and education. The World Bank estimates Nigeria received over $20 billion in diaspora remittances last year.
The Ministry of Industry and Trade is looking for “fund managers for the development and establishment of a multisectoral, multilateral private sector-led investment fund” known as the Nigeria Diaspora Fund.
Fund managers will be responsible for establishing and designing the fund’s legal, operational, financial, and administrative structures, according to the tender document.
The investment period is expected to last three to five years, with potential follow-on investments. The fund will have a lifespan of 10 years, with the possibility of an extension of up to two years.
To be considered, potential fund managers must have verifiable experience in Nigeria over the past five years, along with a proven track record of raising capital and managing large, profitable venture capital funds.
Doris Anite, Minister of Industry and Trade, described the initiative as an “unprecedented opportunity for our citizens abroad to drive Nigeria’s economic growth.”
Due to lower crude oil exports and resulting foreign currency shortages, the naira has come under pressure, leading businesses and individuals to seek dollars on the black market.
To further enhance foreign exchange inflows into the country, Nigeria plans to issue diaspora bonds later this year. (Reporting by Prince Maraj, Editing by Adegoke Olalekan)
