The Federal Executive Council (FEC) has approved plans to leverage on available long term N20 trillion pension and others funds in the country to drive economic growth in the country by investing in infrastructure, housing power, rails, roads and technology.
This was disclosed by the Minister of Finance and Coordinating Minister for the Economy, Mr. Wale Edun, at a briefing held after the Federal Executive Council (FEC) meeting chaired by President Bola Tinubu at the State House yesterday.
He said before prospecting and waiting for the deployment of foreign direct investments, the government intended to access local funds adding: “there is available in Nigeria long term funds to fund infrastructure projects, and it’s within the pension.
Edun said: “The life insurance and investment fund industry; generally, there is upward of N20 trillion available as much of it is in short term funding that doesn’t need to be.
Pension money is long term and people save over their lifetime for their pension. “And so in conversation, in consultation, collaboration and cooperation with the private sector, we are now able to announce and with the full knowledge and support of all parties, that there will be an initiative to fund growth through investment in infrastructure, including housing; provision of mortgages, long term mortgages, 25 year mortgages at relatively low interest rates.”