The Federal Government says it has established a special purpose vehicle with Austrian partners to raise capital through the Vienna bond market for investments in Nigeria.
Budget and Economic Planning Minister Abubakar Bagudu disclosed the initiative while addressing the GPF Global Vienna Meeting virtually.
He said ESME Limited was created in collaboration with the Federal Ministry of Finance, Austrian officials and the Austrian Stock Exchange to provide a financing platform for projects in Nigeria.
The proposed bond programme is expected to target investment in green technology, waste-to-energy, textiles, pharmaceuticals, agriculture, water and other productive sectors.
Bagudu said the structure could also provide financing for companies seeking to expand existing Nigerian operations.
The minister told investors that the government wanted to open additional channels through which European capital could support private investment and infrastructure development in Africa’s largest economy.
He said ESME’s board included representatives of the Ministry of Finance Incorporated and Austrian business interests.
Bagudu argued that Nigeria’s large domestic market and need for capital created significant opportunities for Austrian companies, particularly those with strong technology capabilities.
He also cited improved foreign-exchange conditions and higher external reserves as evidence, in the government’s view, of greater macroeconomic predictability.
The minister said attracting foreign capital would be important to Nigeria’s broader economic expansion programme and described the Vienna market as a potentially important source of long-term financing.
