EBRD targets $1.5bn Nigeria investment as reform momentum draws capital

The European Bank for Reconstruction and Development (EBRD) is targeting at least $1.5 billion in investments in Nigeria over the next three years, citing improving macroeconomic reforms, rising investor confidence, and a growing pipeline of private sector projects in Africa’s largest economy.

 

Speaking on Friday at the opening of the EBRD’s Lagos office, Heike Harmgart, managing director for Sub-Saharan Africa, said the bank has already committed about $280 million in Nigeria since the country became an EBRD shareholder and country of operation in October 2025, with $180 million invested since the beginning of this year.

 

“We’re probably looking at around $300 million this year, but we don’t have a particular ceiling or target. If we have lots of good projects, we will do lots of investments,” Harmgart said.

 

She said the bank’s medium-term expectation is to invest at least $1.5 billion over the next three years, although she expressed optimism that the final amount could exceed that estimate as more bankable projects emerge.

 

“I hope we do more because we’ve already invested $280 million while we’re still building our team and presence in Nigeria,” she said.

 

Nigeria officially became an EBRD shareholder in July 2025 and a country of operation three months later, enabling the multilateral lender to begin financing projects in the country for the first time.

 

Harmgart said the institution remains demand-driven rather than allocating country-specific investment envelopes, stressing that the availability of quality projects would determine future commitments.

 

“We have the capital as an institution, we have ambitious shareholders, and Nigeria’s minister of finance, who represents the country on our Board, wants us to do more. We want to respond to as many good opportunities as possible while balancing the risks,” she said.

 

Hamza Al-Asaad, EBRD’s country head for Nigeria, said the bank entered the Nigerian market at a time when key macroeconomic challenges were beginning to ease following government reforms.

 

“We’ve been very lucky to come in during a period when many of the challenges around foreign exchange availability, exchange rate stability and high inflation have either been addressed to a large extent or are moving in the right direction,” Al-Asaad said.

 

He said the bank was already hearing positive feedback from the business community and seeing firsthand how recent reforms were improving the investment environment.

 

While acknowledging that challenges remain, particularly around infrastructure, Al-Asaad said Nigeria’s economic potential far outweighs the risks.

 

“The scale of opportunity in Nigeria is really special. No one development finance institution, or even 10 DFIs, would be able to cover the country’s financing needs alone. We all need to work together to encourage local and international investors to participate,” he said.

 

Harmgart also reaffirmed the EBRD’s long-term commitment to Nigeria, noting that the institution’s model is based on partnership rather than short-term investment.

 

“We don’t come here to invest and leave when things become difficult. Our experience across our countries of operation shows that when challenges arise, we step up our support,” she said.

 

The Lagos office is the first in a planned network of Sub-Saharan African offices, with Dakar, Nairobi, Abidjan and Cotonou scheduled to open later this year as the bank expands its presence across the continent.