Nigeria, Germany seal €365m development, investment partnership

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Nigeria and Germany have signed a €365m development and investment partnership agreement to support economic growth, energy expansion, agriculture, and private-sector development in Nigeria.

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The agreement was signed on Thursday at the German Embassy in Abuja by the Minister of Budget and Economic Planning, Senator Abubakar Bagudu, the Minister of State for Budget and Economic Planning, Dr Doris Uzoka-Anite and senior German government officials, according to a statement issued by the Federal Ministry of Budget and Economic Planning.

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Speaking during the signing ceremony, Uzoka-Anite said, “We recognise that development cooperation must increasingly catalyse investment, innovation, and sustainable financing. This partnership is therefore not merely procedural; it is a concrete affirmation of our shared commitment to improving our people’s lives.”

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The statement noted that the agreement includes a €65m financial and technical cooperation commitment from Germany, as well as an additional €300m Export Credit Guarantee financing framework to mobilise investments and long-term funding for strategic projects in Nigeria.

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Uzoka-Anite described the deal as a reaffirmation of the long-standing partnership between Nigeria and Germany, noting that both countries had agreed to deepen cooperation in key sectors, including agricultural transformation, climate and energy transition, sustainable economic development, skills acquisition, health systems strengthening, and peaceful societies.

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She noted that the partnership came at a critical stage in Nigeria’s ongoing economic reforms under President Bola Tinubu, saying the reforms were necessary to unlock long-term economic growth and prosperity.

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The minister also said all programmes under the partnership would remain aligned with Nigeria’s National Development Plan 2026–2030 and the broader Agenda 2050 framework.

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In her remarks, the German Ambassador to Nigeria, Annett Günther, said the signing followed extensive bilateral engagements between both countries aimed at reviewing progress and strengthening future cooperation.

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She said the negotiations attracted participation from representatives of nine Nigerian ministries, German development institutions including BMZ, GIZ and KfW, development partners, European Union representatives, and members of the diplomatic community.

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The Deputy Director General of Germany’s Federal Ministry for Economic Cooperation and Development, Philip Knill, described Nigeria as “a giant in Africa” and a strategic partner in regional economic integration, peace, and security.

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Knill disclosed that the German delegation held meetings with Nigerian and German businesses during the visit, including discussions around power, agriculture, digital economy, and industrial development.

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According to him, major German companies, including Siemens, SAP, Bayer, and STIHL, are already exploring opportunities in Nigeria’s industrialisation, energy, digital transformation, and agricultural mechanisation sectors.

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He also praised Nigeria’s ongoing macroeconomic reforms, particularly foreign exchange liberalisation, tax reforms, and food security initiatives, noting that Germany considers them important for attracting long-term investment into the country.

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Knill further announced that Germany’s Ministry for Economic Affairs and Energy had offered a €300m export credit line to support bilateral trade and investment between both countries.

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Highlighting the impact of existing programmes under the Nigeria-Germany partnership, he said more than 16,000 small and medium-sized enterprises had recorded income growth through joint initiatives, while about 600,000 smallholder farming households benefited from training programmes that improved productivity and incomes by up to 90 per cent.

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He added that more than 70,000 Nigerians were currently benefiting from mini-grid energy projects supported by the partnership.

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Knill also reaffirmed Germany’s support for Nigeria’s Presidential Power Initiative through collaboration with Siemens to expand the country’s electricity grid capacity to 25 gigawatts. He said the project would improve access to cleaner and more reliable energy for millions of Nigerians.

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The signing ceremony concluded with both countries reaffirming their commitment to translating the partnership into measurable development outcomes through stronger institutional collaboration, private-sector mobilisation, and strategic investments.

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It was earlier reported that Nigeria and Germany concluded negotiations on the renewed bilateral cooperation framework, paving the way for the agreement’s signing.

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