Afreximbank’s FEDA agreement represents a significant milestone for Nigeria. By becoming the 16th country to join the agreement, Nigeria confirms its growing support for the Fund for African Development (FEDA) and Afreximbank, underscoring its commitment to Africa’s economic development. This historic move comes after three decades since the establishment of Afreximbank in Nigeria, demonstrating the importance the country places on these key institutions.
The fact that Nigeria joins the ranks of the signatory countries of the FEDA Establishment Agreement is of great importance, as it opens new perspectives for the intervention of the Fund in the country. By being a member of FEDA, Nigeria helps to broaden the scope of the Fund and support its mission of providing long-term capital to African economies, with emphasis on industrialization, intra-trade African economy and value-added exports.
The signing of the FEDA Establishment Agreement by Nigeria paves the way for the ratification of this agreement in the near future, thereby strengthening the Fund’s interventions in the country. This step demonstrates Nigeria’s desire to support economic development initiatives in Africa, by promoting investments in sectors crucial to the country’s growth and progress.
Professor Benedict Oramah, President of Afreximbank and Chairman of the Boards of Directors of Afreximbank and FEDA, welcomed the signing of the FEDA Establishment Agreement by Nigeria, highlighting the importance of this achievement for strengthening of the partnership between Afreximbank and Nigeria. This strengthened partnership will help stimulate investments in sectors essential to Nigeria’s development, thereby promoting sustainable and inclusive growth.
FEDA, being the impact investment arm of Afreximbank, plays a crucial role in providing equity, quasi-equity and debt capital to bridge the multi-billion dollar financing gap needed to transform the business sector in Africa . This initiative aims to support the economic growth and structural transformation of the continent, by promoting the development of large-scale projects in key sectors.
In conclusion, Nigeria’s accession to the Afreximbank FEDA Establishment Agreement marks a significant step forward in the country’s support for African development. This strengthened collaboration between Nigeria, Afreximbank and FEDA opens new prospects for investment and economic development in Africa, demonstrating Nigeria’s commitment to building a prosperous future for the continent.