The Nigeria Sovereign Investment Authority (NSIA) has disclosed that it recorded a net return of N1.88 trillion in the 2024 financial year – up from the N1.18 trillion posted in 2023.
Managing director and chief executive officer of the NSIA, Aminu Umar-Sadiq, disclosed this at the NSIA’s 2024 earnings presentation and media engagement held in Abuja, on Wednesday.
“We went from net returns of N1.18 trillion in 2023 to N1.88 trillion in 2024. We will continue to wonder how we will top that in 2025, but with the combination of teams,” he said.
He pointed out that the NSIA had, on tactical basis, done four things right.
“Firstly, is efficient balance sheet optimisation. We continue to be defensive, particularly on our stabilisation and future generation funds.
“Secondly, we focused on sustainable earning on the infrastructure side; thirdly, we focused on pioneering infrastructure investment; and lastly, cost efficiency.”
Umar-Sadiq also disclosed plans by the NSIA to withdraw from the presidential fertiliser initiative (PFI) within the next three years.
The presidential fertiliser initiative started in 2017 after Nigeria and Morocco signed a three-year bilateral agreement to supply di-ammonium phosphate for NPK 20:10:10 fertiliser production
The PFI was established to provide affordable, high-quality fertiliser to Nigerian farmers and revive the local blending industry by sourcing over 60 percent of raw materials locally and producing at domestic blending plants.
The NSIA was also appointed to implement the programme through a special purpose vehicle (SPV), NAIC-NPK Limited, which managed the entire process from input procurement to fertiliser distribution.
The development marked the end of an eight-year intervention that increased the number of operational blending plants from four in 2017 to over 90 across the country.
Umar-Sadiq said the fertiliser initiative had achieved its primary objective of reviving the sector, hence the discontinuation of the NSIA’s involvement.
“Because we have gone from four operating blending plants to over 90 today, and with the FX ban on importation lifted, it is now a liberalised sector with vibrant players. NSIA is no longer needed,” he said.
Umar-Sadiq explained that the fertiliser programme, which began in 2017, was always intended to be a temporary measure.
According to him, the authority’s focus from inception was to stabilise the blending sector and build the capacity of private operators to take full control of the value chain.
“We started by procuring all the raw materials, transporting them to the plants, paying for blending, and then distributing the finished products.
“Over time, as these companies established credible financial histories, we encouraged them to access bank guarantees to independently purchase raw materials,” the managing director stated.
The NSIA, he said, has since reduced its role to importing only phosphate and potash, while private operators now manage logistics and procure inputs like urea and limestone.
He added that within two to three years, the blending plants are expected to handle all input sourcing independently, completing NSIA’s transition out of the sector.
Umar-Sadiq said the exit plan aligns with the direction of President Bola Tinubu’s administration and would proceed unless disrupted by unforeseen market developments.
“Unless there is an unforeseen disruption in the market, the transition will be complete within the next two to three years,” he added.
Speaking on the NSIA’s broader investment outlook, he said the authority had adopted a defensive asset allocation strategy across its Stabilisation Fund and Future Generations Fund to withstand global economic uncertainty, particularly in light of political changes in the United States.
“We have allocations to private equity, hedge funds, real estate, and inflation-linked instruments. This strategy may limit upside gains when markets are bullish, but it shields the portfolio during downturns, which is critical given the savings mandate of the Sovereign Wealth Fund,” he said.
The MD also said NSIA had attracted over $1 billion in third-party capital for infrastructure investments, in addition to committing $500 million of its own funds.
Umar-Sadiq reiterated that the NSIA remained focused on mobilising capital and stimulating long-term growth across critical sectors such as agriculture, housing, energy, and healthcare.
