At the backdrop of the plan by the Federal Government (FG) of Nigeria to grow the country’s economy to a $1 trillion value by 2030, the government has been advised to adopt assets-based financing model to replace the output-based approach it currently uses.
Renowned economist and Chief Executive Officer of Economic Associates, Dr Ayo Teriba, who gave the advice in a keynote address at the 2025 Economic Outlook event organised by the Association of Corporate Treasurers in Nigeria (ACTN) in Lagos, highlighted Nigeria’s vast but underutilised assets which could be used to attract significant foreign direct investment (FDI) if properly monetised.
“The world has moved beyond relying on production and exports for economic growth. The countries that are thriving today are those that have successfully leveraged their assets to attract investment. Nigeria must do the same if it hopes to stabilise its economy and improve liquidity,” he said.
Teriba faulted the government’s reliance on debt-financed growth instead of maximising state-owned enterprises and infrastructure, and classified Nigeria alongside South Africa, Brazil, and Russia as countries struggling with liquidity crises due to their failure to adapt to modern economic trends.
He canvassed the opening up of strategic sectors such as energy, railways, and telecommunications to private investment to reduce government spending burdens, citing the success of Nigeria’s telecom sector, which attracted private capital without government borrowing, as a model for other industries.
“Saudi Arabia turned its oil reserves into Aramco, one of the world’s most valuable companies. The UAE transformed Dubai into a global investment hub. Meanwhile, Nigeria continues to borrow when it should be attracting equity investments through its assets,” he said.
According to him, Nigeria should shift to asset-based financing by securitising national assets and creating a transparent investment registry for global investors, while also calling on Nigerian states to leverage their assets rather than depend on federal allocations.
He stated further: “Instead of issuing Eurobonds or relying on loans, we should be issuing asset-backed bonds and equity-linked instruments. Investors are willing to come in if we create the right structure.
“Many Nigerian states have resources that are more valuable than entire economies elsewhere, yet they remain untapped. Governors need to start thinking like asset managers, not budget administrators.”
Earlier in his welcome remarks, ACTN President, Adeyinka Ogunnubi, emphasised the need for corporate treasurers and businesses to become innovative, adding that the corporate treasurers’ role goes beyond managing funds to enabling businesses to thrive amidst uncertainty, optimising liquidity, and creating long-term value.
