The French Development Agency (AFD) Group has committed $60 million in new financing to Nigerian businesses in the creative, agricultural and renewable energy sectors, strengthening its investment in the country as France seeks to deepen economic ties with one of Africa’s largest markets.
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The financing comprises a $30 million loan to the Bank of Industry (BOI) to support businesses in Nigeria’s cultural and creative industries, and another $30 million facility through Proparco, AFD’s private sector financing subsidiary, to Sterling Bank for renewable energy projects and small and medium-sized enterprises in agriculture.
The agreements were signed during a three-day visit to Nigeria by Christophe Lecourtier, chief executive of AFD Group, from October 26 to 28, with meetings in Lagos and Abuja involving government officials, development finance institutions and private sector operators.
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The investment comes as Nigeria seeks to expand access to finance for businesses, create jobs and attract capital into sectors considered important to economic diversification. AFD said the loans would also encourage partnerships between Nigerian and French companies.
The $30 million facility to BOI will target businesses in the cultural and creative industries, a sector that includes film, music, fashion and other creative enterprises. According to AFD, the industry contributes nearly 2 percent of Nigeria’s gross domestic product and supports more than four million jobs.
The investment is expected to widen access to financing for businesses operating in an industry with significant employment potential but where many enterprises face difficulties securing affordable capital to expand production and reach new markets.
The second $30 million agreement, provided through Proparco to Sterling Bank, will support renewable energy projects and agricultural small and medium-sized enterprises, among other initiatives. It is also intended to strengthen commercial links between Nigerian and French businesses.
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Beyond the two financing agreements, Lecourtier held discussions with Aminu Umar-Sadiq, chief executive of the Nigeria Sovereign Investment Authority, on potential investments to improve energy efficiency in the construction sector.
AFD said the discussions were part of efforts to identify opportunities for future investment in infrastructure and businesses that can support Nigeria’s economic development.
Health, skills and infrastructure remain priorities
The visit also covered sectors beyond private sector financing, including vocational training, healthcare and sustainable infrastructure.
Lecourtier visited the African Centre of Excellence on Technology Enhanced Learning (ACETEL), located at the National Open University of Nigeria. The centre, co-financed by AFD and the World Bank, focuses on improving digital learning and skills development, areas considered important to strengthening employability among young Nigerians.
In Abuja, Lecourtier met Finance Minister Taiwo Oyedele to discuss potential investments in human capital, including healthcare, social protection and vocational training, as well as sustainable infrastructure covering energy, energy efficiency and urban mobility.
He also met Health Minister Muhammad Ali Pate, reaffirming AFD’s readiness to support Nigeria’s efforts to expand universal health coverage. Discussions included the work of Expertise France, AFD Group’s technical cooperation agency, on pharmaceutical value chains and health insurance.
A visit to the QUALIMEDS project, funded by the European Union and implemented by Expertise France, provided an opportunity to highlight existing cooperation in the health sector.
AFD Group said it currently has more than 50 projects underway in Nigeria, with cumulative financing of about €2.5 billion, making it a significant development partner in the country.
French firms seek stronger links with Nigerian projects
The visit also highlighted opportunities for French companies to participate in Nigeria’s industrial and infrastructure development.
Lecourtier visited the Lagos Free Zone and facilities operated by French shipping and logistics company CMA CGM at Lekki Port, where discussions focused on how French expertise could complement major Nigerian infrastructure projects.
Speaking to a delegation of French business representatives alongside Business France, the country’s trade and investment agency, Lecourtier said AFD Group could help facilitate partnerships between businesses in both countries.
He said Nigeria’s growing population and demand for energy, infrastructure, healthcare and employment required financing that could support both public development priorities and private sector investment.
“Nigeria is a major partner for France in Africa,” Lecourtier said. “In response to rapid population growth and immense needs in energy, infrastructure, healthcare and employment, AFD Group is mobilising all its tools: financing businesses, supporting entrepreneurs and developing talent through training.”
“Our ambition is to foster shared prosperity, serving the interests of Nigerians, France and Europe alike,” he added.
The latest agreements deepen an existing development relationship while opening opportunities for French businesses in Nigeria’s expanding economy. Their wider impact will depend on how effectively the financing reaches businesses, supports productive investment and translates into jobs and improved services.
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Faith Omoboye is a foreign affairs correspondent with background in History and International relations. Her work focuses on African politics, diplomacy, and global governance.
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