The International Finance Corporation (IFC) has committed to two major projects aimed at driving economic growth and sustainability in Africa. IFC will invest up to $50 million in Lagos Free Zone in Nigeria to enhance industrial infrastructure. It has also partnered with Commercial International Bank (CIB) in Egypt to support decarbonisation across carbon-intensive industries. These initiatives align with IFC’s broader strategy to support economic diversification, job creation, and climate resilience.

IFC’s investment in Lagos Free Zone will accelerate the development of Nigeria’s first deep-sea port-based private special economic zone. The 860-hectare zone, owned by Singapore-based Tolaram, integrates with Lekki Deep Sea Port to create an efficient industrial ecosystem.

Dahlia Khalifa, IFC Regional Director for Central Africa and Anglophone West Africa, stated that the investment demonstrated IFC’s commitment to fostering inclusive economic growth and sustainable development in Nigeria. She noted that Lagos Free Zone was set to become a transformative hub for industrial activity, which would drive job creation and enhance Nigeria’s global competitiveness. She further expressed pride in IFC’s partnership with Lagos Free Zone, emphasising that the collaboration aimed to build the necessary infrastructure to attract both global and local businesses, ultimately helping Nigeria realise its full economic potential.

With Nigeria’s economy projected to grow by 3.7% by 2026, infrastructure investments like this are crucial. The first phase of the project will focus on land development, industrial facilities, and logistics infrastructure. Once fully occupied, Lagos Free Zone will generate around 30,000 jobs and significantly contribute to Nigeria’s GDP.

IFC is ensuring that sustainability remains central to its investments. Around 15% of its funding for Lagos Free Zone will go towards climate-related initiatives. These include Excellence in Design for Greater Efficiencies (EDGE)-certified buildings and climate-resilient infrastructure.

Adesuwa Ladoja, MD/CEO at Lagos Free Zone Company, highlighted the impact of IFC’s investment.

Ladoja stated that IFC’s support was a significant and positive recognition of their vision to establish Lagos Free Zone as a world-class industrial hub. He mentioned that the investment would enable them to scale up the existing infrastructure to attract more foreign and local tenants while also promoting sustainability and creating economic opportunities for Nigeria. He added that Lagos Free Zone, integrated with Lekki Deep Sea Port, facilitated ease of doing business in Nigeria and supported the Federal Government’s efforts toward economic diversification and infrastructure development. He expressed optimism about driving growth and delivering a lasting impact through the transformative collaboration with IFC.

Lagos Free Zone is already home to global manufacturers like Kellogg’s, Dano Milk, Colgate, BASF, ADM, and Tata International. The investment aligns with Nigeria’s ongoing economic reforms and IFC’s frameworks, including the World Bank Group’s Nigeria Country Partnership Framework (2021–2025) and the 2015 Climate Action Plan.

In addition to investing in Nigeria’s industrial growth, IFC has partnered with CIB to drive sustainability in Egypt. This initiative will help businesses in sectors such as oil and gas, transportation, and real estate reduce carbon emissions and transition towards greener operations.

“CIB and IFC have partnered to advance transition planning and decarbonisation across key sectors in Egypt. Building on our successful track record, including the issuance of Egypt’s first corporate green bond, this partnership will utilise IFC’s expertise to develop a comprehensive decarbonisation strategy for CIB, targeting seven key carbon-intensive sectors,” said Amr El-Ganainy, CIB’s Deputy CEO and Executive Board Member.

“Ultimately, this agreement enhances businesses’ ability to navigate the challenges posed by climate change, unlock new avenues for innovation, and build a more resilient and prosperous future for both businesses and Egypt’s economy,” he added.

This partnership is part of IFC’s Climate Finance Advisory Program, which supports financial institutions in helping clients transition to low-carbon business models. By strengthening resilience and adaptation, Egypt can improve resource efficiency and create new opportunities in the green economy.

Aliou Maiga, IFC’s Financial Institutions Group (FIG) Director for Africa, emphasised the importance of this initiative.

Maiga stated that IFC’s partnership with CIB marked a significant step in helping Egypt’s private sector lower emissions and address climate-related risks. He highlighted growing evidence that efficient use and allocation of natural resources not only reduced climate change impacts but also promoted growth, sustainability, and competitiveness across industries.

IFC has worked closely with CIB in the past, including supporting Egypt’s first private sector green bond in 2021. This initiative focused on energy efficiency, climate adaptation, and green building projects. IFC also helped CIB implement a climate risk management framework in 2023.

The latest partnership is backed by Germany’s Federal Ministry for Economic Affairs and Climate Action (BMWK). It aligns with the World Bank Group’s commitment to ensure that all new financing operations adhere to the goals of the Paris Agreement by 2025.

IFC has been active in Egypt since 1975, investing and mobilising $9 billion in development projects. Its advisory portfolio in the country stands at $22 million, with a focus on fintech, climate finance, manufacturing, infrastructure, renewable energy, and healthcare.

By supporting Lagos Free Zone and partnering with CIB, IFC is reinforcing its commitment to Africa’s economic transformation. These investments address critical infrastructure needs, promote sustainability, and strengthen regional economies.

With IFC’s support, Nigeria’s Lagos Free Zone will enhance industrial capacity and attract global investment. Meanwhile, its partnership with CIB will help Egyptian businesses embrace greener practices and reduce carbon footprints.

As Africa continues to grow, initiatives like these will play a key role in building a competitive, resilient, and sustainable economic future.

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