The Islamic Development Bank Group (IsDB) has reaffirmed its commitment to strengthening private sector-led growth in Nigeria following the successful conclusion of its IsDB Group Day held in Lagos.
The high-level event brought together government officials, investors, financial institutions, and development partners to deepen collaboration, unlock investment opportunities, and address key economic challenges, including infrastructure deficits, unemployment, and limited access to finance for small and medium-sized enterprises (SMEs).
In his keynote address, Nigeria’s Minister of Finance and Coordinating Minister of the Economy, Wale Edun, said the gathering reflects a deliberate alignment between the Federal Government’s Renewed Hope Agenda and the IsDB’s Country Engagement Framework (2026–2028), as Nigeria transitions from economic stabilisation to accelerated growth.
“Growth will not happen by chance; it will be driven by investment—domestic, foreign, and diaspora—within a stable macroeconomic environment and an incentivised framework,” he stated.
Investor Confidence
Edun noted that following major economic reforms since May 2023, Nigeria is moving steadily from stabilisation to growth, with improving investor confidence and GDP growth now approaching 4 percent.
He stated that the country was targeting a 7 percent annual growth rate in the medium term to significantly reduce poverty.
He stressed that with government contributing only about 10 percent of the economy, private sector participation remains critical.
“We must move from reliance on public financing to private capital mobilisation, from traditional borrowing to innovative financing, and from risk exposure to risk-sharing mechanisms,” he said.
Delivering remarks on behalf of the IsDB Group, Anasse Aissami described the event as a milestone in the long-standing partnership between Nigeria and the Bank.
He noted that development requires collective effort, particularly amid global economic uncertainty, climate change, and geopolitical tensions.
“Development is not a solitary endeavour; it is a shared responsibility built on partnership, solidarity, and common purpose,” he said.
Aissami reiterated that since its establishment in 1974, the IsDB Group has remained committed to promoting economic development, reducing poverty, and strengthening human capital across its member countries under its “One Group, One Goal” principle.
He highlighted Nigeria’s strategic importance within the Bank’s operations, disclosing that the Group has approved over $2.4 billion in financing for the country, alongside significant insurance support through its affiliate institutions.
“Our partnership with Nigeria spans key sectors including agriculture, energy, transport, health, and education, with a strong focus on infrastructure and human capital as drivers of inclusive growth,” he stated.
Expanding Support
According to him, the Bank is expanding support for private sector development through institutions such as the Islamic Corporation for the Development of the Private Sector, International Islamic Trade Finance Corporation, and Islamic Corporation for the Insurance of Investment and Export Credit to improve access to finance, enhance trade, and de-risk investments.
He also noted ongoing initiatives focused on women and youth empowerment, as well as programmes aimed at boosting innovation, skills development, and enterprise growth across Nigeria.
The IsDB delegation reaffirmed that its Country Engagement Framework (2026–2028) will focus on two key pillars: infrastructure and private sector development, as well as human capital advancement, to drive inclusive and sustainable economic growth.
Discussions at the forum centred on expanding SME financing, strengthening public-private partnerships, promoting renewable energy, and investing in youth and women.
Highlights of the event included the signing of a Memorandum of Understanding (MoU) between Nigeria and the IsDB to enhance collaboration, as well as panel sessions and bilateral meetings aimed at building partnerships and exploring practical business opportunities.
The event concluded with a renewed commitment by the IsDB Group to deepen cooperation with Nigeria, expand investment opportunities, and support the country’s drive toward a resilient, diversified, and inclusive economy.