Afreximbank, MDGIF Sign $500 Million Deal to Modernize Nigeria’s Gas Infrastructure and Boost Industrialisation
The African Export-Import Bank (Afreximbank) and the Midstream and Downstream Gas Infrastructure Fund (MDGIF) have signed a landmark Memorandum of Understanding (MoU) to accelerate the development and modernisation of Nigeria’s gas infrastructure.
The agreement was formalised on the sidelines of the Intra-African Trade Fair (IATF2025) by Mrs. Helen Brume, Afreximbank’s Director and Global Head of Project and Asset-Based Finance, and Mr. Oluwole Adama, Executive Director of MDGIF.
Under the MoU, both institutions will collaborate to mobilise up to US$500 million over the next four years, blending senior debt and equity to finance critical midstream and downstream projects in Nigeria’s energy sector.
Strategic Areas of Cooperation
The partnership will focus on:
Identifying and financing gas infrastructure projects
Providing debt and equity capital
Conducting feasibility studies and environmental assessments
Enhancing technical expertise through capacity building
Offering credit risk guarantees via Afreximbank’s platforms, including IATF
Mrs. Kanayo Awani, Afreximbank’s Executive Vice President for Intra-African Trade and Export Development, hailed the deal as a “significant milestone” for Africa’s industrialisation efforts.
“By combining Afreximbank’s expertise in trade and project finance with MDGIF’s national investment reach, we are unlocking new opportunities for inclusive growth and sustainable development across Nigeria and West Africa,” she said.
Mr. Adama emphasised that the partnership supports President Bola Ahmed Tinubu’s agenda to harness Nigeria’s gas resources for economic transformation.
“This collaboration will reduce gas flaring, expand critical infrastructure, and deliver sustainable energy solutions that power industries and improve livelihoods,” he noted.
The MoU signing was witnessed by Nigeria’s Minister of State for Petroleum Resources (Gas), who described the agreement as pivotal in creating a pipeline of bankable projects backed by feasibility studies and risk-sharing mechanisms.
The announcement came during IATF2025, which hosted over 112,000 participants, generated more than $48 billion in trade deals, and featured 2,100 exhibitors alongside 20 Heads of State and senior government officials.
