FG Launches $50m Impact Innovation Fund to Support Nigerian Startups
- The federal government has formalised a $50 million Impact Innovation Fund for Nigerian startups
- The fund will combine financial support with technical assistance for early-stage ventures
- Officials say the initiative aligns with broader Nigeria-Japan development cooperation
Oluwatobi Odeyinka is a business editor at Legit.ng, covering energy, the money market, technology and macroeconomic trends in Nigeria.
The federal government has formally launched a $50 million Impact Innovation Fund aimed at supporting Nigerian startups addressing key social challenges.
Source: UGC
The development follows the signing of agreements between the Nigeria Sovereign Investment Authority (NSIA) and the Japan International Cooperation Agency (JICA), PUNCH reported.
The signing ceremony took place on Friday at the Ministry of Budget and Economic Planning in Abuja. The agreement covers the grant contract for the “Project for the Development of Supporting Environment for Startups Addressing Social Challenges.”
Japanese agency to provide $14m
Under the arrangement, JICA will provide $14 million in grant funding, while NSIA will commit up to $20 million to match the grant as part of the broader $50 million Impact Innovation Fund.
According to officials, the fund is structured as an onshore public investment vehicle. It will combine financial backing with technical assistance to help startups strengthen their products, scale operations and expand into new markets.
Speaking at the event, NSIA Managing Director and Chief Executive Officer, Aminu Umar-Sadiq, described the initiative as a major boost for Nigeria’s innovation ecosystem.
Fund to support early-stage businesses
He said the fund would provide early-stage businesses operating in high-impact sectors with the capital and support required to grow, adding that the collaboration with JICA reflects a shared commitment to entrepreneurship, inclusive growth and sustainable development.
Also speaking, Japan’s Ambassador to Nigeria, Suzuki Hideo, welcomed the signing of the grant contract between the ministry and JICA.
He explained that the project forms part of a broader cooperation framework proposed by Japan in line with its foreign policy objectives.
According to him, the initiative is designed to promote development through the co-creation of social value, achieved via dialogue and collaboration with partner countries, while mobilising private finance alongside Official Development Assistance.
Hideo noted that the project represents Japan’s first global implementation of this development model involving a fund that blends public and private capital. He added that there has been significant interest in Tokyo regarding the initiative.
The ambassador further stated that discussions between JICA and NSIA had continued since the signing of the Exchange of Notes in April, and expressed appreciation for the cooperation between the two institutions.
Source: Facebook
Fund to improve job creation
The federal government expects the fund to support job creation, improve livelihoods and contribute to sustainable economic growth across the country.
Preparations are currently underway to operationalise the fund and build a pipeline of high-impact startups eligible for investment.
FG secures loan to support farmers
Legit.ng earlier reported that the Nigerian government recently secured a $200 million loan from the Africa Development Bank (AfDB) to support the agricultural sector under NAGS-AP Phase 2.
The funding will help scale up key agricultural investments aimed at improving productivity, strengthening value chains, and promoting climate-smart, data-driven farming practices across the country.
The four-year project will begin in March 2026 and focus on climate-smart and technology-driven farming.
Source: Legit.ng
