An Overview of Nigerian Venture Capital and Private EquitySummary Nigeria faces an uncertain future as outbreaks of ethnic and religious violence continue to strain the most populous country in Africa. As the 2003 elections approach, the ongoing battle between incumbent politicians and competing ethnic and regional groups is likely to intensify. Such an environment will test Nigeria's fragile democracy, which has never seen a transition from one civilian government to another. The Nigerian government is expected to continue with economic liberalization, at a slow pace. The government's main challenges will be to contain spending, increase the pace of its privatization program, liberalize domestic fuel subsidies, improve the nation's infrastructure and improve national security. The challenges and constraints facing private equity investors in Nigeria can be grouped into three areas: Macro/ National Factors, · Industry Specific Factors, · Company Specific Factors.