PenCom and FSD Africa Secure N241bn for Infrastructure

Pension funds have committed N241bn to infrastructure development as part of a new initiative by the National Pension Commission (PenCom) and FSD Africa. Omolola Oloworaran, the Director-General of PenCom, announced this commitment during a briefing in Lagos, stating that the first tranche of funds is expected to be deployed by the second quarter of 2027.

This commitment is seen as the initial step towards mobilizing long-term capital from the pension industry to support infrastructure projects in Nigeria, with expectations that the total amount could rise to nearly N300bn upon receiving additional commitments from an undisclosed participant. Oloworaran clarified that the funds have not yet been invested, as the investment structure is still being established, which includes finalizing a framework with FSD Africa, signing a memorandum of understanding, and appointing a fund manager.

Infrastructure investments are viewed as attractive due to their long-term nature and potential returns.