InfraCredit, USTDA partner to develop quality infrastructure in Nigeria
- June 22, 2021
Lagos, 22 June 2021 : InfraCredit, a ‘AAA’ rated specialised infrastructure credit guarantee institution, backed by the Nigerian Sovereign Investment Authority (“NSIA”), Private Infrastructure Development Group companies GuarantCo and InfraCo Africa, KfW Development Bank, Africa Finance Corporation and African Development Bank is pleased to announce the signing of a Memorandum of Understanding with U.S. Trade and Development Agency to bring high-quality U.S. infrastructure solutions to Nigeria.
“The foundation of any strong partnership consists of trust, mutual respect and collective prosperity. These principles are central to our relationship with InfraCredit,” said Enoh T. Ebong, USTDA’s Acting Director. “USTDA’s three decades of project preparation expertise is an excellent complement to InfraCredit’s financial guarantees. Under our partnership, we will leverage each other’s resources to overcome many of the constraints that inhibit the bankability of quality infrastructure investments in Nigeria.”
Under the terms of the MOU, USTDA and InfraCredit will work together to identify infrastructure projects that could benefit from project preparation funding and subsequent credit enhancements. This collaboration will facilitate the development of bankable infrastructure projects highlighting U.S.-based solutions and bring them to market for InfraCredit’s investment-catalyzing guarantees. The sectors of cooperation highlighted in the MOU include clean energy, information and communications technology, transportation, agribusiness and healthcare infrastructure.
“USTDA’s project preparation and partnership-building activities have supported InfraCredit in executing well-structured, bankable infrastructure projects that can access long term domestic institutional investments in Nigeria’s debt capital market. We believe this relationship is catalytic in strengthening local capacities and promoting domestic resource mobilization for infrastructure finance in Nigeria” said Chinua Azubike, Chief Executive Officer of InfraCredit
Currently, USTDA and InfraCredit are collaborating with Nigeria’s Hotspot Network Limited on the deployment of up to 2,000 cellular base stations that would expand digital connectivity in rural Nigeria. A USTDA-funded feasibility study on the project is currently underway for InfraCredit’s financial guarantee.
Since 1992, USTDA has funded nearly 80 project preparation activities in Nigeria.
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For further enquiries, please contact:
Infrastructure Credit Guarantee Company Limited
Media Enquiries: [email protected]
Guarantee Enquiries: [email protected]
Phone: +234 6312300
Note to the Editor
About InfraCredit
InfraCredit is a ‘AAA’ rated specialised infrastructure credit guarantee institution backed by the Nigeria Sovereign Investment Authority, GuarantCo (a Private Infrastructure Development Group company), KfW Development Bank, Africa Finance Corporation, InfraCo Africa and African Development Bank, to provide local currency guarantees and mobilize long term debt financing for infrastructure in Nigeria. InfraCredit’s guarantees act as a catalyst to attract domestic credit from pension funds, insurance firms and other long-term investors into credit-worthy infrastructure projects, thereby deepening the Nigerian debt capital markets. InfraCredit operates on a commercial basis with a developmental role and benefits from private sector governance.
InfraCredit maintains the highest domestic financial strength ratings accorded to any financial institution by Agusto and Co. and Global Credit Ratings Co., two of the major domestic credit rating agencies. For more information please visit www.infracredit.ng and follow us on Linkedin and Twitter.
About USTDA
The U.S. Trade and Development Agency connects the U.S. private sector to infrastructure projects in emerging markets. USTDA achieves its mission by funding feasibility studies, technical assistance and pilot projects that integrate the innovation and expertise of American companies. USTDA also connect overseas project sponsors with U.S. partners through our reverse trade missions, industry conferences and expert workshops. For more information please visit https://ustda.gov/
