Nigeria joins Asian Infrastructure Investment Bank as 19th African member

Nigeria has officially secured full membership in the Asian Infrastructure Investment Bank (AIIB), following approval by the Federal Executive Council (FEC) in Abuja.

• Nigeria has secured full membership in the Asian Infrastructure Investment Bank (AIIB)
• The membership allows Nigeria to access global infrastructure financing and diversify its development funding sources.
• The AIIB, headquartered in Asia, supports sustainable infrastructure development and has a $100 billion capital base with global membership.

The move positions Nigeria as a non-regional member of the Asian Infrastructure Investment Bank (AIIB), granting it broader access to global infrastructure financing and aligning with its strategic goals for economic growth and international investment partnerships.

Nigeria’s membership in the infrastructure bank makes it the 19th African country to bag full membership.

As of 2021, Nigeria was listed as a prospective member.

Having now completed the legal, administrative, and financial processes necessary for accession, the country has become a full member of the Asian Infrastructure Investment Bank.

As of today, 22 African countries have been approved as members, with 19 holding full membership and 3 designated as prospective members.

What Nigeria stands to benefit

During the Federal Executive Council meeting at the State House in Abuja, Minister of Finance, Wale Edun highlighted the significance of this development, stating,

“We’ve concluded that process now, and we are fully fledged members of the Asian Infrastructure Investment Bank, which is set up to promote infrastructure development and generally sustained economic growth in all its members.”

Edun noted that despite the AIIB being headquartered in Asia, it welcomes non-regional members committed to sustainable infrastructure expansion.

China’s stake in the Asian Infrastructure Investment Bank (AIIB) is evident in its role as a top donor, giving it the largest voting share at 26.58%. India (7.59%), Russia (5.97%), Germany (4.15%), South Korea (3.49%), and Australia (3.45%) follow.

As the U.S. pulls back from its donor role in Africa, China is expanding its influence through infrastructure financing across the continent.

Nigeria’s initial commitment involved subscribing to 50 shares valued at $100,000 each, totaling $5 million.

Nigeria’s accession to the Asian Infrastructure Investment Bank (AIIB) represents a strategic step in diversifying its development financing sources, especially as the United States moves to end contributions to the African Development Fund (ADF), a key arm of the African Development Bank.

As one of Africa’s largest economies, Nigeria stands to gain significantly from AIIB membership, both financially and geopolitically.

This membership is expected to unlock financing opportunities for key infrastructure projects and accelerate economic transformation across various sectors.

With a capital base of $100 billion and global membership, the AIIB offers Nigeria access to substantial funding for infrastructure, less dependent on Western political shifts.

As of today, the AIIB has 19 African countries designated as full members, which include the following countries listed in the table below.

Tanzania, Mauritania, and Senegal were still listed as prospective members according to information sourced from the bank’s website.