Lagos: The International Finance Corporation (IFC) has announced an equity investment of 50 million dollars in the Lagos Free Zone Company (LFZ) to support Nigeria's industrial growth and economic diversification. Dahlia Khalifa, IFC Regional Director, Central Africa and Anglophone West Africa, made this known at an official signing on Friday in Lagos.
According to News Agency of Nigeria, Khalifa stated that the investment aims to support the development and expansion of Nigeria's first deep sea port located in the Lagos Free Zone. She highlighted that the investment is designed to address critical infrastructure gaps, attract both local and global businesses, and contribute to Nigeria's economic diversification agenda.
The IFC director indicated that the funds would aid the first phase of the 860-hectare Lagos Free Zone, focusing on land development, industrial facilities, and logistics infrastructure. The facility, owned by Tolaram, a diversified multinational group with operations across Africa, Asia, and Europe, is expected to provide an integrated industrial ecosystem. This would enhance efficient import and export operations, positioning Nigeria for integration into global value chains.
Khalifa noted the importance of infrastructure investments, as Nigeria's economy is projected to grow by 3.7 percent by 2026. She added that when fully operational, the Lagos Free Zone is expected to create approximately 30,000 direct, indirect, and induced jobs, significantly contributing to Nigeria's Gross Domestic Product (GDP).
The investment also reflects IFC's dedication to fostering inclusive economic growth and sustainable development in Nigeria. Khalifa emphasized that Lagos Free Zone is set to become a transformative hub for industrial activity, driving job creation and enhancing Nigeria's competitiveness in global markets.
Additionally, the investment aligns with IFC's commitment to sustainable development, with about 15 percent of the investment earmarked for climate-related initiatives, including EDGE-certified buildings and climate-resilient infrastructure.
Adesuwa Ladoja, Managing Director of Lagos Free Zone Company, remarked that IFC's support signifies positive recognition of the vision to establish Lagos Free Zone as a world-class industrial hub. The investment enables the company to enhance existing infrastructure to attract more foreign and local tenants, promoting sustainability and creating economic opportunities for Nigeria.
Ladoja also mentioned that the Lagos Free Zone, integrated with Lekki Deep Sea Port, facilitates ease of doing business in Nigeria and supports the Federal Government's economic diversification efforts. She expressed optimism about driving growth and delivering lasting impact through this transformative collaboration with the IFC.
The investment aligns with Nigeria's ongoing economic reforms and IFC's strategic frameworks, prioritizing economic diversification, development of competitive clusters, and investments in climate-resilient infrastructure. By addressing infrastructure bottlenecks and enhancing connectivity, IFC's investment in Lagos Free Zone is expected to unlock new opportunities for businesses and strengthen Nigeria's position as a regional economic leader.