Dec. 20 (Bloomberg) -- Nigeria’s $1 billion sovereign wealth fund will start making investments in March after receiving board approval, it said.
“We’ll start all the securities investing by March” for the Fiscal Stabilization Fund and the Future Generations Fund, Uche Orji, chief executive officer of the Nigeria Sovereign Investment Authority, said today in an interview in Abuja. For the Infrastructure Fund, “we’ll start investing in the second half of 2013.”
Nigeria set up a wealth fund in May last year to invest savings made from the difference between budgeted oil prices and actual market prices. Africa’s most populous country of more than 160 million people relies on crude exports for more than 90 percent of foreign income and about 80 percent of government revenue, making it vulnerable to swings in prices.
The wealth fund will help meet budget shortfalls in the future, provide dedicated funding for development of infrastructure and keep some savings for the future generation, according to the law establishing it.
To contact the reporter on this story: Elisha Bala-Gbogbo in Abuja at email@example.com
To contact the editor responsible for this story: Dulue Mbachu at firstname.lastname@example.org