Ava Global Asset Managers Limited, an asset management firm and a member of the AVA Capital Group, is raising N20 billion under its N200 billion Infrastructure Fund (IF) programme.

The fund follows calls to private sector operators to support the government in bridging the infrastructure gap in the country.

PwC's Nigeria Economic Outlook 2024 had shown uncertainty regarding a significant financial commitment from the government for the enhancement of its predominantly inadequate infrastructure.

Speaking to journalists in Lagos, the Co-CEO Capital Group, Mr Efe Shaire, said private sector operators need to support the funding of infrastructure through partnerships, new products and other initiatives.

He said the Ava fund seeks to address the infrastructural deficits in Nigeria through the objective provision of institutional capital for development.

"The overall objective of the AVA IF is to spur socio-economic impact and unlock the development of the Nigerian economy.

"The purpose of the fund is to serve as a new source of capital for infrastructure projects, promoting financing for infrastructure projects in Nigeria and the resulting socio-economic effects. The Fund is supported majorly by private sector monies and offers a sustainable platform for new kinds of investors that traditionally do not have access to these markets to invest billions in infrastructure projects," he said.

Shaire disclosed that the fund, which is first in the series, would close on March 6, 2024, noting that money raised would be invested in power, roads, agricultural processing, telecommunications and other sectors.

According to him, Ava IF is a 10-year life cycle targeted towards infrastructure space for qualified investors.

He explained that before now, other operators had come up with the infrastructure funds driven by the changes in the pension industry encouraging a lot of PFAs to invest in long-term infrastructure plans.

Shaire stressed that infrastructural problems cannot be solved only by government initiatives, adding that the private sector should be able to also contribute to the conversation by working together to ensure cooperation with the public sector to accelerate the development of the infrastructure base while improving the country's productivity.