NIGERIA, JAPAN LAUNCH YOUTH-FOCUSED VENTURE FUND

The Federal Government has launched a venture capital initiative for young people in business in partnership with Japan.

The goal of the initiative is to channel Naira-dominated investments into high-growth startups, with a view to shield them from currency risks and unlock access to long-term concessional financing.

The Minister of Finance and Coordinating Minister of the Economy, Mr Wale Edun, was joined at his office in Abuja by officials of the Nigeria Sovereign Investment Authority and the Japan International Cooperation Agency to finalise the framework of the fund.

NSIA CEO, Aminu Umar-Sadiq confirmed that the initiative satisfies two key conditions set by the Minister, comprising of mitigating foreign exchange volatility by investing in Naira and securing first-loss or grant capital to de-risk private investment.

On his part, JICA Director General Takao Shimokawa announced that diplomatic agreements would be signed within weeks, with full implementation expected thereafter.

The Coordinating Minister welcomed the development, saying it was a timely response to Nigeria’s youthful demography.