The Nigerian federal government has finalised a monumental $3.5 billion agreement with Afreximbank aimed at revitalising the textile industry and promoting the adoption of Compressed Natural Gas (CNG) vehicles, among other strategic initiatives. Announced by the Minister of Industry, Trade and Investment, Doris Uzoka-Anite, this agreement marks a significant milestone in advancing President Bola Ahmed Tinubu’s vision for a diversified and prosperous Nigerian economy. The deal was formalized during the 31st Afreximbank Annual Meeting held in Nassau, The Bahamas.
“I am pleased to report that a groundbreaking $3.5 billion MoU agreement between @TradeInvestNG and @afreximbank was signed at the 31st Afreximbank Annual Meeting in Nassau. This landmark agreement is a major step towards fulfilling President Bola Ahmed Tinubu’s vision for a diversified and prosperous Nigerian economy,” stated Uzoka-Anite.
Key aspects of the agreement include a $3 billion Industrialisation Financing Facility aimed at accelerating Nigeria’s journey towards becoming fully industrialized. Additionally, state-wide investment vehicles and projects are set to attract investments to various states across Nigeria, fostering regional development and economic growth. A Global Country Guarantee is included to boost investor confidence in Nigeria by providing guarantees for investments, promoting sustainable economic activities.
A critical component of the agreement focuses on revamping the Textile and Apparel Industry in collaboration with Arise Integrated Industrial Platforms. This initiative targets substantial capital expenditure of up to $3.3 billion, aiming to rejuvenate Nigeria’s textile sector and create significant employment opportunities, particularly for the youth. Another key initiative is the development of the CNG Value-Chain, which aims to enhance Nigeria’s automotive and transport sectors through sustainable practices, contributing to environmental conservation and economic efficiency.
The federal government’s ambitious goal is to attract $3.5 billion in investments within a year to revive Nigeria’s textile, cotton, and apparel sector, which encompasses the entire clothing value chain in the country. According to Uzoka-Anite, this investment drive will create jobs across Nigeria, benefiting both skilled and unskilled labor.
Highlighting the transformative potential of the collaboration with Afreximbank, Uzoka-Anite emphasized its role in reshaping Nigeria’s industrial landscape, fostering innovation, and expanding employment opportunities.
“This collaboration with Afreximbank is set to transform our industrial landscape, create jobs, and drive sustainable economic growth. Together, we are paving the way for a brighter and more prosperous Nigeria,” concluded Uzoka-Anite.
This agreement signifies a pivotal step towards achieving sustainable economic growth and enhancing Nigeria’s global competitiveness in key industrial sectors.
