How we grew net returns to N1.184trn in one year – NSIA CEO

… Nigeria’s Sovereign Wealth Fund now $2.5bn

AMINU Umar-sadiq, managing director/ceo of the Nigeria Sovereign Investment Authority (NSIA), has attributed the N1.184 trillion total income recorded by the authority in 2023 to cost efficiency, efficient balance sheet management, infrastructure investment and projects that yielded sustainable earnings.

Umar-sadiq spoke to the media on Thursday, on the authority’s recently released financial result.

NSIA’S total Comprehensive Income surged 1,122 percent to N1.18 trillion in 2023, relative to N96.96 billion reported in 2022. Total Comprehensive Income (excluding foreign exchange gains) equally rose from N21.39 billion in the previous year to N164.69 billion, marking a 670 percent growth.

Presenting the Authority’s 2023 financial performance to the media in Abuja, Umar-sadiq explained that the renewed focus of the authority which manages the country’s $2.5bn played a key role in delivering such impressive results.

According to him, the focus area on efficient balance sheet management ensured the timely availability of both local and foreign currency investments, thereby optimizing currency utilisation. This strategy also ensured optimal asset allocation and utilization and retained a substantial portion of the balance sheet in foreign currency.

Also, with the focus on sustainable earnings, the NSIA directed efforts towards swiftly stabilising infrastructure projects. This, according to him, entailed engaging with instruments that guarantee consistent and reliable returns, further bolstering the authority’s financial stability.

Umar-sadiq further disclosed that the NSIA pioneered investment initiatives, particularly in environmentally sustainable ventures, with notable successes achieved through partnerships in green climates with organisations like Carbonvista.

It also prioritised cost efficiency, striving to transition towards digitised, streamlined operations that effectively addressed prevailing challenges. This shift, he said optimised resources and enhanced operational effectiveness, further contributing to NSIA’S “excellent” financial performance.

As contained in its financial statement, NSIA in the last 10 years has continued to show resilience and growth in asset performance while creating value within the economy. Its net assets have grown from N156 billion ($1 billion) in 2013 to N1.189 trillion, an equivalent of $2.47 billion as of 2023.