Uche Usim, Abuja
Despite increased volatility in international markets, the Nigeria Sovereign Investment Authority, the manager of Nigeria’s sovereign wealth fund, on Monday released its 2018 financial year results where it posted a total comprehensive income of N44.34 billion. The result was higher than N27.93 billion posted in 2017.
It also said its total assets recorded a growth of 16% to N617.70 billion as against N533.88 billion posted in the previous year, even as it denied carrying out shady recruitments.
Speaking at a media briefing in Abuja, the Managing Director of NSIA, Mr. Uche Orji, the Authority’s investment strategy proved robust with headline numbers maintaining a favourable trajectory across the three funds – The Stabilisation Fund, Future Generations Fund, and Nigeria Infrastructure Fund.
“Stabilisation Fund (100% Funds deployment): 7.2%, Future Generations Fund (81% fund deployment): 8.3%, Nigeria Infrastructure Fund (17% fund deployment): 7.7%
“We reached financial close on three healthcare projects including a Cancer Centre at Lagos University Teaching Hospital (LUTH) and Advanced Diagnostic Centres at Federal Medical Centre Umuahia (FMCU) and Aminu Kano Teaching Hospital (AKTH). We have commissioned the LUTH cancer Centre. The facility will soon be fully open to clinical operations.
“Presidential Fertiliser Initiative recorded increased output with approximately 12 million bags of fertiliser produced to date with a total of 18 blending plants participating.
“The Presidential Infrastructure Development Fund (PIDF) received US$ 650 million from NEC and commenced capital deployment across three of the major road projects under PIDF including 2nd Niger Bridge, Lagos – Ibadan Expressway and Abuja-Zaria-Kaduna-Kano road.
“The joint venture of NSIA and UFF reached financial close on Project Novum, a fully integrated farm located on 3,500 hectares of land in Panda, Nasarawa State”, Orji explained.
On InfraCredit, NSIA boss said it attracted other investors to the company and de-recognized it from the book.
“InfraCredit is poised to transform the infrastructure bond market having facilitated transactions for North-South Power and Vitan. New investors in InfraCredit AfDB and KfW” , he added.
On key infrastructure projects in the pipeline for 2019, he listed them to be; Commodities Exchange (NCX); investment in basic chemicals with OCP Morocco and the Basic Chemical Platform to produce ammonia and other fertilizer products.
“Focus for 2019 is infrastructure. We’ve committed more than 60% of our funds. In real number, we are talking about $450 million”, he said.
The NSIA boss listed assets under its management to include; NSIA core capital US$1.5 billion, other 3rd party managed funds comprised of; PIDF – US$650 million, DMO – US$122.60 million (US$120.95 – Fair value 31 Dec 2017); Nigeria Stabilization Fund – ₦13.64 billion
Gross sum of US$417.46 million (US$350 million principal plus returns) repaid to the Nigeria Bulk Electricity Trading Company Plc (“NBET”) following the expiration of the 4-year investment term.
Orji said the Authority rebased its foreign denominated balances to N325/$ from N305/$, to reflect its foreign exchange transactions appropriately in line with its market. Therefore, the Group recognized a foreign exchange gain of N18.05 billion.
On the recent allegation of employment racketeering at NSIA, Orji said: “It is purely fake news. We advertise. Was it secretly done, no? We’ve advertised 14 positions since 2018. We use consultants to hire staff. The title of Assistant Vice President and all that are in consonance with the international format as adopted by our overseas partners.
“NSIA is 22 levels. AVP 1 is level nine. So many fake news out there.
Many roles are advertised. It takes long to hire people. We were taken aback when that news broke but we have a business to run. We can’t be distracted”, he explained.