The Federal Government has formalised the launch of a $50 million Impact Innovation Fund to support Nigerian startups tackling critical social challenges, following agreements signed between the Nigeria Sovereign Investment Authority and the Japan International Cooperation Agency .
The signing ceremony, held at the Ministry of Budget and Economic Planning in Abuja on Friday, covered the grant contract for the “Project for the Development of Supporting Environment for Startups Addressing Social Challenges.”
Under the arrangement, JICA will provide $14 million in grant support, while NSIA will contribute up to $20 million to match the grant as part of the $50 million Impact Innovation Fund.
The fund is structured as an onshore public vehicle and will combine financial support with technical assistance to help startups refine products, scale operations, and expand into new markets.
Speaking at the event, NSIA Managing Director and Chief Executive Officer Aminu Umar-Sadiq described the fund as a significant step for the startup ecosystem.
“The Fund represents a transformative step for Nigeria’s startup ecosystem. By providing early-stage ventures in high-impact sectors with the capital and support they need to grow, we are enabling innovators to tackle some of Nigeria’s most pressing challenges.
“Our collaboration with JICA underscores our commitment to entrepreneurship, inclusive growth, and sustainable development,” he said.
The Ambassador of Japan to Nigeria, Suzuki Hideo, said he was “very pleased that the grant contract for the ‘Project for the Development of Supporting Environment for Startups Addressing Social Challenges’ will be signed today between your esteemed ministry and JICA.”
He explained that the project forms part of a broader cooperation package Japan is proposing to Nigeria, aligned with its foreign policy priorities.
“This initiative aims to achieve development goals by the ‘co-creation’ of social value through dialogue and collaboration with Japan’s partner countries, while mobilising private finance in combination with ODA.
“Today’s project represents Japan’s first-ever implementation of this development model globally, specifically involving a fund that incorporates private capital. Interest in Tokyo is very high, and the Embassy has been eagerly awaiting the launch of this project,” he stated.
The initiative is expected to create jobs, improve livelihoods, and contribute to sustainable economic development across Nigeria.
The Ambassador noted that since the signing of the Exchange of Notes last April, detailed discussions had continued between JICA and NSIA.
“I would like to express my gratitude for their continuous efforts and deep relationship of trust. The Government of Japan hopes this new project will take root in Nigeria and bear fruit swiftly,” he said.
The PUNCH learnt that preparations are underway to operationalise the fund and develop a pipeline of high-impact startups ready for investment.
