•Says $2.5bn contracts awarded to 6,800 Nigerian suppliers in 5yrs
•As IFC invests $5bn
•FG will deepen engagement with World Bank procurement — Bagudu
By Babajide Komolafe
The World Bank has offered a $250 billion global procurement window to Nigerian firms, urging local companies to take advantage of thousands of opportunities across World Bank–financed projects worldwide.
Speaking at a World Bank procurement seminar in Lagos, the Vice President, Operations Policy and Country Services (OPCS), Ms. Gallina Andronova Vincelette, said the scale of opportunities available to Nigerian businesses was “significant and growing.”
“To understand the scope of procurement, I will focus on the public sector,” Vincelette said.
On this slide, we see a couple of numbers. One is $250 billion. This is what has been approved by our Board and is available to be delivered in projects and financing to governments across the world.
“We also see another number, which is 40,000. This is the number of procurement opportunities available for companies to deliver on projects approved by our Board and serve the countries that we work in.”
Putting the figures in the Nigerian context, Vincelette disclosed that Nigerian firms have already benefited substantially from World Bank–financed contracts.
“Over the past five years, Nigeria-based suppliers have been awarded more than 6,800 World Bank–financed contracts with a total value of $2.5 billion,” she said.
“More than 60 per cent of these awards have gone to the delivery of civil works, including roads, bridges, hospitals and school construction.”
She stressed that opportunities for Nigerian companies go beyond the domestic market.
“There are also opportunities not only in Nigeria, but across Africa, where Nigerian companies can participate,” she said.
“Looking more broadly across Africa, over the same five-year period, World Bank–financed projects have awarded more than 9,000 contracts with a total value of close to $45 billion, underscoring the scale and depth of opportunities across the region.”
IFC invests $5bn
Also speaking, IFC Director for Central Africa and Nigeria, Ms. Dahlia Khalifa, reaffirmed the International Finance Corporation’s long-term commitment to Nigeria, with jobs creation as its core focus.
“IFC is very committed to Nigeria. We’ve been here for decades and we hope to be here for decades and decades further,” Khalifa said.
“Being as helpful and supportive to the development of Nigeria, achieving its objectives and keeping our eye on that North Star, which is jobs, is critical.”
She emphasised the role of the private sector in achieving sustainable growth.
“Of course, it is the private sector which is key to completely embrace and understand that, and therefore what we do is critical right now,” she said.
Khalifa disclosed that IFC’s direct investment exposure in Nigeria stands at $1.3 billion, while its mobilisation efforts have brought in far larger sums.
“We have a portfolio in Nigeria which is $1.3 billion, which is how much we have funded from our own balance sheet,” she said.
“That’s not all talked about — how much we crowded in in terms of mobilisation using multiples of this.”
According to her: “Last year alone, we brought about $5 billion to Nigeria, and that is the case we have been seeing for the past three or four years. But that’s not enough. Our ambition is much higher.”
She added: “Our ambition is to mobilise as much private capital to Nigeria as possible to help you grow your businesses and help create as many jobs as possible.”
FG clamour more opportunities
In his remarks at the seminar, Minister of Budget and Economic Planning, Abubakar Atiku Bagudu, said Nigeria was ready to deepen its engagement with the World Bank’s procurement framework and leverage it to position Nigerian firms globally.
“Just last week, the Country Director made a presentation at the National Economic Council, chaired by the Vice President, and he spoke about a portfolio of over $17 billion,” Bagudu said.
“We appreciate the size of this portfolio, even though we believe we can do more.”
He described the procurement engagement as a strategic opportunity for Nigerian businesses.
“Very importantly for Nigeria, this is to encourage Nigerian companies, Nigerian entrepreneurs and Nigerian service providers to look at World Bank proposals across the world as an entry point into procurement worldwide,” he said.
Bagudu expressed confidence in the capacity of Nigerian firms to compete internationally.
“Our President believes in our capacity, and our entrepreneurs are celebrated everywhere,” he said.
“We believe our construction companies, our artisans and our service providers have the ability to compete globally.
“This opportunity that will be provided by the Bank is quite well appreciated, and we believe Nigerian firms are ready to seize it.”
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