Shettima, Stakeholders Back Islamic Finance to Bridge Nigeria’s $170bn Infrastructure Deficit
Nigeria’s Vice President Kashim Shettima has reaffirmed the Federal Government’s commitment to leveraging Islamic finance as a sustainable solution to address the country’s massive $170 billion infrastructure deficit.
Speaking at a high-level stakeholders’ forum in Abuja, Shettima emphasized that Islamic finance — rooted in ethical and non-interest-based principles — offers viable funding alternatives for infrastructure projects, particularly in transportation, energy, housing, and healthcare.
According to the Vice President, the Nigerian government recognizes the potential of Islamic financing instruments such as Sukuk bonds, which have already played a crucial role in funding key road and bridge projects across the nation. He added that the administration is keen on expanding partnerships with local and international investors to scale up this financing model.
“Our infrastructure challenge requires innovative financing approaches. Islamic finance presents a credible, inclusive, and sustainable path to deliver critical infrastructure without excessive debt burden,” Shettima stated.
Industry experts and financial stakeholders at the event echoed similar sentiments, noting that Islamic finance promotes transparency, equity, and shared prosperity — aligning with the government’s economic diversification agenda.
Representatives from the Central Bank of Nigeria (CBN) and Debt Management Office (DMO) also highlighted that deepening the Islamic finance market would attract more foreign investment and support long-term national development.
Analysts believe that adopting Islamic finance could help Nigeria achieve its National Development Plan (2021–2025) targets, bridge funding gaps, and boost investor confidence in the country’s economic reforms.
The move underscores a growing consensus among policymakers that innovative, faith-based financing models can play a significant role in achieving sustainable infrastructure growth and fostering financial inclusion across Nigeria.
