Oluchi Chibuzor
Infrastructure Credit Guarantee Company Plc (InfraCredit), has announced the execution of a $50 million subordinated unsecured 10-year debt facility with the International Finance Corporation (IFC), a member of the World Bank Group and the world’s largest global development institution focused on the private sector in emerging markets.
The agreement provides for a total committed Facility of $50 million, to be disbursed in two separate tranches of $25 million each.
The subordinated Facility strengthens InfraCredit’s capital structure, enhancing its capacity to support a growing pipeline of infrastructure transactions and mobilise long-term local currency financing across sectors including renewable energy, climate-smart agriculture, digital infrastructure and green growth, telecommunications, healthcare, transportation, and other productive sectors of the Nigerian economy.
Beyond its financial value, the transaction reflects the continued evolution of InfraCredit’s institutional model and the depth of development finance support underpinning its role in Nigeria’s infrastructure financing ecosystem.
“This investment reflects IFC’s commitment to strengthening Nigeria’s infrastructure financing ecosystem and mobilising long-term private capital.” said Aliou Maiga, IFC’s Financial Institutions Group (FIG) Director for Africa. “By supporting InfraCredit’s institutional capacity, we are helping mobilize domestic resources for infrastructure investments that can drive economic growth, job creation and sustainable development across key sectors of the Nigerian economy. We are pleased to deepen our partnership with InfraCredit as it continues to play a catalytic role in developing Nigeria’s local capital markets.”
Commenting on the transaction, Chief Executive Officer of InfraCredit, Chinua Azubike, said: “Building additional institutional capacity has been an important priority for InfraCredit as our transaction pipeline grows and our financing solutions evolve. IFC’s investment reinforces that capacity and strengthens our ability to mobilise long-term domestic capital for infrastructure. Equally important, this investment demonstrates the continued confidence of the international development finance community in InfraCredit’s business model. Our institution is supported by a diverse ecosystem of leading DFIs and development partners across multiple layers of our capital and risk-sharing structures, including subordinated debt, portfolio risk-sharing, counter-guarantees, first-loss capital and specialised investment facilities. That breadth of support is a significant competitive advantage and reflects the maturity and resilience of our institution. We look forward to building on this partnership with IFC as we work together to expand the flow of long-term capital into Nigeria’s infrastructure market.”