• Monday, July 22, 2024
businessday logo


Standard Chartered Bank to invest $3bn in NNLG, Lagos-Calabar coastal road

Standard Chartered Bank to invest $3bn in NNLG, Lagos-Calabar coastal road

Wale Edun, the coordinating minister of the economy and minister of finance, has announced that the Standard Chartered Bank has indicated an interest in financing key infrastructure projects in Nigeria, including the Lagos-Calabar coastal highway, Port Harcourt-Maiduguri rail line rehabilitation, as well as the provision of $3 billion in innovative financing for the NLNG dividend initiative.

The minister, who described the bank as a valued partner to Nigeria, providing finance for infrastructure, advice on ratings, and the prudent management of Nigeria’s Eurobond, stated this when he led the bank officials on a visit to President Bola Tinubu at the Presidential Villa, Abuja.

The bank officials, including Bill Winters, the group chief executive of Standard Chartered Bank, had met with the president, as part of their official engagements in Nigeria.

”They are also one of our lead managers for Eurobond issuance, and they advise us on our ratings. I am pleased to note that Moody’s has just completed our rating review and maintained Nigeria’s rating as a positive outlook, which is very encouraging,” the minister said.

He also said Moody’s positive outlook rating follows the recent announcement of the World Bank’s $2.25 billion financing package for Nigeria, reflecting the positive trajectory of the current administration’s economic reforms.

President Tinubu in his remarks said Nigeria remains committed to a balanced approach to energy transition and still requires substantial investments in the oil and gas sector to meet the energy demands and economic needs of its population.

Highlighting the importance of balancing the mutually beneficial shift to green industrial growth and energy with the immediate energy needs of Nigerians, the president said: ”We value your cooperation, friendship, and partnership. Substantially, we have oil and gas as our primary source of revenue today. As friends, we do not expect you to run away from investments in this sector. We face the prospect while prudently maximising the present.

”Green industry and energy, yes. We will surely catch up with that. To run a marathon, you need energy today. Nigeria holds the largest reserves of gas in Africa. We know we can make the best use of the great opportunities that exist in the sector. We do not want you to back away from fossil fuels.

”I have seen retractions and retreat positions by some players in the industry. But for any energy transition to succeed, people must live and live well.

”We must be able to meet our obligations to the vulnerable communities. We are committed to being prudent with our natural resources to bring prosperity to our deserving people.

”As we hold the largest reserves in gas on the continent, we do not want to go backwards, we want to move forward, and we welcome a deepened partnership with your institution.”

President Tinubu also highlighted strategic projects across different sectors embarked upon by his administration to stimulate economic growth.

He reiterated his commitment to sustaining ongoing economic reforms and measures to stabilize the economy.

In his remarks, Winters lauded President Tinubu’s bold economic reforms, noting the international investment community’s recognition and support.