IFC Invests $50 Million in Lagos Free Zone to Boost Industrial Growth and Economic Diversification in Nigeria
The International Finance Corporation (IFC) has announced a $50 million equity investment in Lagos Free Zone to support industrial development and economic diversification in Nigeria. This investment aims to bridge critical infrastructure gaps, attract both local and global businesses, and drive Nigeria’s economic growth.
The funds will be used for the first phase of the 860-hectare Lagos Free Zone, focusing on land development, industrial facilities, and logistics infrastructure. Owned by Singapore-based Tolaram, Lagos Free Zone is strategically integrated with Lekki Deep Sea Port, creating an efficient industrial ecosystem for import and export operations.
Nigeria’s economy is projected to grow by 3.7% by 2026, making infrastructure investments essential for sustainable development. Lagos Free Zone is expected to create around 30,000 direct and indirect jobs and significantly contribute to Nigeria’s GDP upon full completion.
“This investment reflects IFC’s commitment to fostering inclusive economic growth and sustainable development in Nigeria. Lagos Free Zone is poised to become a transformative hub for industrial activity, driving job creation and enhancing Nigeria’s global competitiveness,” said Dahlia Khalifa, IFC Regional Director for Central Africa and Anglophone West Africa.
IFC’s investment also prioritizes sustainability, with 15% of the funds allocated to climate-related initiatives, including EDGE-certified buildings and climate-resilient infrastructure.
Adesuwa Ladoja, MD/CEO of Lagos Free Zone Company, expressed enthusiasm for the collaboration: “IFC’s support recognizes our vision to establish Lagos Free Zone as a world-class industrial hub. This investment will help us scale up infrastructure, attract more foreign and local tenants, and promote sustainability while supporting Nigeria’s economic diversification.”
Lagos Free Zone already hosts several multinational companies, including Kellogg’s, Dano Milk, Colgate, BASF, ADM, and Tata International. The investment aligns with Nigeria’s economic reforms and IFC’s strategic frameworks, including the World Bank Group’s Nigeria Country Partnership Framework (2021–2025) and the 2015 Climate Action Plan, both of which prioritize economic diversification and climate-resilient infrastructure.
