The Japan International Cooperation Agency (JICA) signed an agreement with the government of the Federal Republic of Nigeria on February 20 in Abuja, the capital of the country, for the implementation of a project entitled “Environmental Improvement Plan to Support Start-up Companies Addressing Social Issues. The agreement was signed on the day between Mr. Abubakar Atiku Bagudu, Minister of Budget and Economic Planning of the Federal Republic of Nigeria, and Mr. Keiji Ishigame, Director of JICA Nigeria Office.
Signing Ceremony
JICA and the Nigerian Sovereign Investment Authority (NSIA) will jointly contribute funds to this project, and will invest in the fund through NSIA. In addition, JICA will provide necessary cooperation for institutional development that contributes to the sustainable growth of startups, thereby forming and strengthening the environment (ecosystem) surrounding startups in Nigeria. This will encourage the growth of startups that address local social issues and contribute to job creation, industry diversification, and economic growth. Furthermore, by expanding the number of potential partners for Japanese companies and using this project as a medium to promote collaboration between Japanese and Nigerian companies, we also aim to contribute to the business advancement of Japanese companies.
The project is also designed to mobilize private-sector funds by attracting NSIA and other investors as LPs (Limited Partners), based on the trust that JICA and Japan have earned through ODA and diplomacy, as well as the synergy with Project NINJA, JICA’s initiative to strengthen the startup ecosystem, which will begin in 2020. The project is designed to mobilize private-sector funds by attracting NSIA and other investors as Limited Partners (LPs). This project will be implemented under JICA’s “Scheme for Facilitating Private Capital Mobilization”.
A summary of the business is as follows
Environmental improvement plan to support start-up companies tackling social issues
The Project for the Development of Supporting Environment for Startups Addressing Social Challenges
Country (Region)
Federal Republic of Nigeria (all areas)
Business Objectives
This project will contribute funds jointly with the Nigerian Sovereign Investment Authority (NSIA) to a fund established by the Nigerian government to invest in local startup companies that are working to solve social issues in Nigeria. The project will also contribute to the formation and strengthening of the startup ecosystem in Nigeria by providing necessary cooperation for institutional development that contributes to the sustainable growth of startups, including the development of an onshore fund management environment, thereby helping to build a foundation for sustainable economic growth through solving social issues through innovation.
Business
(a) Joint contribution of funds with NSIA to a fund to be established by the Nigerian government.
(b) Consulting services: Advice on the management of investment funds set up by the Nigerian government, consultation on startup business plans, etc.
(c) Soft component: Raising awareness among investors on fund market formation and improving the practical capacity of government agencies to promote fund establishment and management.
Maximum Amount of Provision
3,142 million yen
Scheduled implementation period
159 months (including detailed design and bidding period)
Implementing Agency
Nigerian Sovereign Investment Organization
Contribution to the achievement of the SDGs
Goal 8 (both job satisfaction and economic growth)
Goal 9 (Create a foundation for industry and technological innovation)
Other SDG goals 2 (zero hunger), 3 (health and well-being for all), 4 (quality education for all), 6 (safe water and toilets worldwide), etc. (depending on the sector of the start-up company being supported)
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