Rivers State is pushing for new ways to finance major infrastructure projects in the Niger Delta, with blue, green, and railway bonds being considered as possible sources of long-term funding.
The proposal emerged after the Niger Delta Economic and Investment Summit in Port Harcourt, where stakeholders discussed how the region could attract more private capital for infrastructure and economic development.
Chamberlain Peterside, Director-General of the Rivers State Investment Promotion Agency, said the region could use the capital market to fund projects that would otherwise put pressure on state and federal government budgets.
He said a railway bond could support the development of a regional rail network, while blue and green bonds could be used for projects linked to the Niger Delta’s waterways, environment and other areas of the region’s blue economy.
The proposed railway project is currently at the feasibility stage. Its developer, Kalada Apiafi, said the next steps include determining the cost of the project before financing arrangements can be considered.
Peterside said individual projects could also be structured to raise their own financing rather than relying entirely on the borrowing capacity of individual states.
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For example, a regional railway, industrial hub or airline could have a financing structure built around the project, with participating states providing guarantees where necessary.
The Securities and Exchange Commission Director-General, Emomotimi Agama, said the capital market could help close the region’s infrastructure financing gap.
According to the report, the Niger Delta requires about ₦3.001 trillion to address its infrastructure needs.
Agama said capital-market financing could be applied to projects across sectors including agriculture, roads and education, while green and blue projects could be developed in areas such as Opobo and Bonny.
There are also discussions around establishing a development bank for the Niger Delta, which stakeholders say could provide another avenue for mobilising funds for regional projects.
For Rivers, the proposals could create another route for financing infrastructure and development projects as the state and other Niger Delta states look beyond traditional government funding.
However, the bonds have not been issued yet. The proposals would still require feasibility studies, financial modelling, and the necessary approvals before any project could raise money through the capital market.
