The Senate Committee on Capital Market and Institutions has identified municipal bonds and Sukuk as sustainable pathways to fund critical infrastructure projects across Nigeria’s local governments.
Chairman of the Committee, Senator Osita Izunaso, stated this ahead of a national stakeholders’ summit on municipal bonds and Sukuk, scheduled to hold in Uyo, Akwa Ibom State.
The summit, themed “$1 Trillion Nigerian Economy: Infrastructure Financing through the Capital Market,” is expected to gather key players from government, regulators, investors, and the private sector.
Izunaso emphasized that municipal bonds and Sukuk provide market-based alternatives to traditional funding methods. He noted that these instruments have already been successfully deployed in other countries to finance projects such as roads, housing, healthcare, water supply, education, and transport.
“These instruments offer sustainable, market-based alternatives to traditional funding and have been successfully deployed globally,” Izunaso said.
He added that Nigeria’s adoption of these instruments would significantly expand financing options for local government development, ultimately driving economic growth and social impact.
