Nigeria recorded $19.92 billion worth of investment signals in the second quarter of 2025, according to data tracked by Nairametrics in collaboration with the Nigerian Investment Promotion Commission (NIPC).
This indicates a significant jump from $5.27 billion in Q1 2025 and brings the total value of signals for H1 2025 to $25.19 billion.
The investment signal is an early indicator of investor intent or commitment to deploy capital into a project, sector, or economy.
It includes announced, in-progress, pledged, and completed deals, offering insight into future capital flows and investor confidence.
These signals help policymakers, analysts, and businesses gauge economic momentum and plan for upcoming opportunities.
Q2 2025 summary: Signals surge, especially in energy and infrastructure
Nigeria recorded over 80 investment signals in Q2 2025, distributed across the months as follows: 29 in April, 33 in May, and 18 in June.
By stage of progress:
- 39 signals were completed
- 29 were announced
- 10 were in progress
- 2 were pledges
These signals spanned sectors such as oil and gas, infrastructure, digital services, manufacturing, education, health, and renewable energy, highlighting broad investor interest in Nigeria’s evolving economy.
Who’s investing, and where?
Private sector leads with 45 signals, with private capital accounting for the majority of signals. Key examples include:
- ExxonMobil’s $1.5 billion deepwater oil signal, aimed at boosting competitiveness in the energy sector
- Equinix’s $140 million expansion of digital infrastructure in Southern Nigeria
- Bankly’s undisclosed capital injection to scale fintech services
Public sector generated 12 signals
Public investment activity remained significant, with signals like:
- SINOMACH’s $1 billion infrastructure commitment in Southern Nigeria
- World Bank’s $552 million grant to support basic education
- Ogun State’s $400 million Stellar Steel Plant project to drive local manufacturing
Public-Private Partnerships (4 signals), and they were led by
- Genesis Energy Group’s $500 million signal to support energy infrastructure in Katsina
- Nigerian Capital Development Fund’s $1 billion economic expansion signal
- Highway Development and Management Initiative’s $946 million signal to upgrade federal roads
Development finance institutions (DFIs) had 12 signals providing funding intent for:
- Afreximbank and Mercuria’s $375 million support for Oando
- IFC and Stanbic IBTC’s $80 million investment in Sun King to expand solar energy access
- European Investment Bank’s climate adaptation signal for environmental resilience
Grants (7 signals) – Notable grant signals included:
- Gavi’s $191 million support for Nigeria’s immunization program
- Mary Ojulari Foundation’s grants for 21 young entrepreneurs
- TRANSFORM West Africa’s waste recycling grants to startups like Chanja Datti and Scrapays
How funds are planned to be deployed
The majority of investment signals target business expansion. Examples include:
- OmniRetail’s $20 million signal to deepen retail reach
- Arnergy’s $15 million renewable energy signal to power growth
Five signals were classified as greenfield projects, indicating investor interest in building entirely new operations.
Notably, Emzor’s $230 million pharmaceutical plant in Ogun aims to improve local drug manufacturing and reduce imports.
Infrastructure remained a top focus, with 13 signals, including:
- SINOMACH’s $1 billion transport and industrial plan
- Afreximbank’s investments in oil and gas logistics
- The federal government’s $946 million road development signal
Other areas included working capital funding (1 signal) and R&D (1 signal), both of which were minimal compared to longer-term expansion projects.
Social services received six signals, notably:
- The World Bank’s education program, and
- Empower School of Health’s $5.5 million collaboration with Nigeria’s Ministry of Health
In agriculture and manufacturing, there were eight signals. For instance, Lee Group’s $35 million investment in a Nasarawa-based agro-processing facility shows growing interest in food production and value chains.
Three signals related to economic expansion programs, including the $1 billion PPP by the Nigerian Capital Development Fund, which reflects a push for broad-based growth beyond traditional sectors.
Why this matters
The significant rise in Q2 investment signals, nearly four times the Q1 figure, offers insight into investor interest in Nigeria across sectors.
- While these signals are not guaranteed inflows, tracking them provides a useful gauge of the types of projects and sectors attracting attention, particularly in a macroeconomic environment still grappling with inflation and currency volatility.
- Energy and infrastructure remain the dominant sectors, but signals in digital infrastructure, renewables, and social services indicate a widening scope of interest.
- Pledges from development finance institutions such as Afreximbank ($3 billion) and AfDB ($614 million) suggest a potential pipeline for the second half of the year, though realization will depend on policy follow-through and project viability.
This level of tracking also helps explain a recurring paradox in Nigeria’s capital account: despite substantial investment interest, foreign direct investment (FDI) has remained relatively low compared to foreign portfolio inflows (FPI).
By monitoring announced and intended investments over time, policymakers and analysts can better understand where bottlenecks exist in translating interest into actual commitments.
