Lagos: African Export-Import Bank (Afreximbank) and the Midstream and Downstream Gas Infrastructure Fund (MDGIF) have signed a significant memorandum of understanding (MoU) to enhance gas infrastructure development in Nigeria. The agreement aims to create a cooperative framework to stimulate investment and growth in the nation’s gas sector.
According to African Press Organization, the MoU was signed during the recently concluded fourth Intra-African Trade Fair (IATF2025). The signing was conducted by Mrs. Helen Brume, Director and Global Head – Project and Asset Based Finance for Afreximbank, and Mr. Oluwole Adama, Executive Director for MDGIF. The MoU prioritizes private sector-led models and aligns with the goals and strategies of both institutions.
Under the MoU terms, Afreximbank and MDGIF intend to mobilize up to USD 500 million over four years to support midstream and downstream gas infrastructure projects. This investment will be a combination of senior debt and equity contributions, focusing on modernizing and expanding Nigeria’s gas sector.
The agreement outlines several key initiatives, including project preparatory support for feasibility studies and legal structuring, equity financing to complement Afreximbank’s senior debt, and promotion and advocacy through Afreximbank’s platforms. Additionally, there will be a focus on capacity building to enhance MDGIF’s capabilities in project structuring and risk management.
Mrs. Kanayo Awani, Executive Vice President – Intra-African Trade and Export Development at Afreximbank, emphasized the importance of the MoU in accelerating Africa’s economic transformation. She highlighted the potential for inclusive growth and sustainable development across Nigeria and the West Africa sub-region, aligning with Afreximbank’s Industrialisation and Export Development agenda.
Mr. Oluwole Adama of MDGIF underscored the alignment of the partnership with Nigeria’s goals under the Petroleum Industry Act and President Bola Ahmed Tinubu’s agenda. He noted the collaboration’s role in capital mobilization, infrastructure expansion, and delivering sustainable energy solutions to power industries and improve livelihoods.
The partnership was witnessed by the Nigerian Government’s Minister of State for Petroleum Resources (Gas), who remarked on the potential to mobilize substantial investment and create a pipeline of bankable projects.
The fourth Intra-African Trade Fair (IATF2025) was a major success, surpassing targets with over 112,000 participants and generating more than $48 billion in trade deals. It featured 2,100 exhibitors and was attended by 20 Heads of State, government representatives, and business leaders.