Capital Ideas: Bond as Alternative Funding Instrument for Housing and Infrastructure Development in Nigeria

Abstract

In view of the persistent decline being experienced in Nigeria's skeletal infrastructure, this paper recommends the use of conventional debt instruments (bonds) for capital financing of large-scale infrastructure projects by government and investors. In this instance, the $18 billion external debt relief has already translated into BB- sovereign credit rating for Nigeria, while contributory pension scheme and bank consolidation will infuse substantial amount of investible assets into the system in coming years.

NESG Economic Indicators Vol. 12 (4) 2006: pp. 24-26