Federal Gov’t Deploys N20trn Pension Funds In Infrastructure Investment Push

Federal Government to Boost Economic Growth by Tapping into N20 Trillion Pension Funds for Infrastructure

The Nigerian Federal Government has announced a strategic move to accelerate economic growth by allocating N20 trillion from the nation’s pension funds for the development of essential infrastructure projects. The revelation was made by the Finance Minister and coordinating minister of the Economy, Wale Edun, following a two-day Federal Executive Council (FEC) meeting chaired by President Bola Tinubu at the Presidential Villa.

This initiative is a cornerstone of President Tinubu’s comprehensive economic reforms designed to fortify the economy against the backdrop of soaring inflation and interest rates. The government plans to forge a strong partnership with the private sector to leverage the substantial N20 trillion in long-term capital held by Nigeria’s pension, life insurance, and investment funds.

Investing in infrastructure is a primary engine for economic growth, according to the Minister. Investments in sectors such as housing, power, rail, roads, water transport, and technology not only boost productivity but also stimulate economic expansion and job creation, thereby alleviating poverty.

The Minister emphasized the resilience of Nigeria and its citizens, stating that the country possesses ample long-term domestic funds to support infrastructure projects before seeking foreign investment or funding. With a significant portion of the N20 trillion in the pension, life insurance, and investment fund industry, the government is confident in the availability of long-term financing for these pivotal projects, reinforcing the nation’s commitment to sustainable economic development.