Tinubu Approves PPP Thresholds to Fast-Track Infrastructure Devt In Nigeria

In a bold step to accelerate infrastructure development across Nigeria, President Bola Tinubu has approved new Public-Private Partnership, PPP, thresholds for Ministries, Departments, and Agencies, MDAs, empowering them to fast-track smaller and mid-scale projects without requiring the Federal Executive Council’s, FEC approval.

The new policy is aimed at eliminating bureaucratic bottlenecks and catalyzing private sector investment in critical infrastructure.

Speaking on the development, Director General of the ICRC, Dr. Jobson Oseodion Ewalefoh, in a statement describes the policy shift as a “game-changer” that will enhance project execution across key sectors such as health, education, agriculture, and housing.

He stressed that all PPP projects, regardless of scale, must still undergo ICRC review and receive compliance certification before proceeding to the PAB or any approving body.

Dr. Ewalefoh explains that the reform marks a decisive move away from a “one-size-fits-all” approach to a more scale-sensitive strategy that supports low-value yet high-impact projects. “We anticipate a surge in projects like rural diagnostic centers, school infrastructure, student accommodation, and affordable housing schemes all of which can now proceed without unnecessary delays”.

The ICRC Director General further emphasized that all qualifying PPP projects must be entirely privately funded and should not rely on government guarantees or fiscal support from the national treasury. This condition is intended to safeguard public finances while leveraging private capital for infrastructure delivery.

The reform Is also aligned with President Tinubu’s broader agenda of public procurement reform and investment system harmonization. By integrating PPP guidelines with other fiscal and regulatory frameworks, the government aims to foster a more cohesive and efficient investment environment.

According to Dr. Ewalefoh, decentralizing PPP approvals will not only improve the ease of doing business in Nigeria but also enhance capital inflows, create jobs, and ensure faster delivery of essential public services. “This is exactly the kind of policy reform Nigeria needs in the current economic climate”.

The ICRC affirms its continued commitment to promoting, guiding, and regulating PPPs in collaboration with key infrastructure stakeholders, including the Bureau of Public Procurement, BPP, the Ministry of Finance Incorporated, and the Bureau of Public Enterprises, BPE. These partnerships are expected to ensure better coordination and implementation of infrastructure policies.

Dr. Ewalefoh urged MDAs to take full advantage of the new thresholds and upcoming guidelines from the ICRC, describing the move as a vital component of President Tinubu’s Renewed Hope Agenda.

He called on public institutions to embrace PPPs as a strategic tool for delivering sustainable and impactful infrastructure across the country.

Under the newly approved framework, MDAs now have the authority to approve PPP projects below ₦10 billion for Parastatals and agencies, and below ₦20 billion for ministries. These approvals will be managed by respective Project Approval Boards, PABs, which are to be constituted in line with Infrastructure Concession Regulatory Commission guidelines.

PR/Umbwanko Baba