African business leader and philanthropist, Tony Elumelu, has called on African governments to unlock and redirect the continent’s massive pension funds to bridge its persistent power and infrastructure gaps.
Speaking in Washington on Thursday, the Heirs Holdings and UBA chairman noted that the continent must stop relying solely on foreign investment while sitting on trillions of dollars in idle domestic resources.
The white paper, presented by the United Bank for Africa, explored how Africa could mobilize more than four trillion dollars in untapped domestic capital for long-term growth. Elumelu emphasized that sustainable development must come from within—starting with pension and sovereign wealth funds.
He lamented that vast pension assets remain tied up in low-yield investments like treasury bills, which offer little benefit to national development. “Getting pension funds and investing them in treasury bills is not what will help Nigeria or Africa develop,” he said. “We need to invest in critical sectors such as infrastructure, manufacturing, and renewable energy.”
Elumelu argued that modest investment risks—like potential short-term losses—are acceptable if the outcome drives sustainable economic transformation. Citing the United States’ pension system, he noted that similar investments had fueled industrial and technological revolutions abroad.
He also praised former President Olusegun Obasanjo for introducing Nigeria’s Contributory Pension Scheme (CPS), calling it one of the country’s most visionary reforms. However, he urged that it now be strategically leveraged to finance national development priorities.
The entrepreneur highlighted that more than half of Africa’s population lacks electricity, describing the situation as incompatible with the continent’s ambitions in digital technology and artificial intelligence. “Electricity is so critical to power data and AI revolution,” he said. “Over 50 per cent of our people do not have access to electricity. It is unacceptable.”
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Elumelu stressed that Africa’s youth do not need sympathy but systems that work—especially access to reliable power and finance. He warned that without energy, digital progress will remain a mirage.
The UBA white paper calls for collaboration among governments, DFIs, and private investors to mobilize local resources. Elumelu said such actions would demonstrate seriousness to global investors and attract more capital to Africa’s growth sectors.
“Our youths are talented, resourceful, and ambitious,” he concluded. “They don’t want handouts; they want opportunity and working systems.”
NAN
