Multilateral Funding Policies and Private Sector Participation: A Study of the African Union Peace Fund in Nigeria

Abstract

This study examined the African Union (AU) Peace Fund in Nigeria, exploring its alignment with Multilateral Funding Policies and the role of Private Sector Participation. It assessed multilateral peace funds, reviewed the activities of the 2016 AU Peace Fund, and investigated reasons for the apparent lack of engagement from Nigeria’s Organized Private Sector in supporting the AU Peace Fund. Multilateral organizations aim to foster societal peace, yet the AU Peace Fund, a critical element of the African Peace and Security Architecture, has struggled to fulfill this objective. Efforts to revitalize the Fund led to the 2016 Silencing the Guns policy, which recommended private sector involvement. However, the Fragile States Index (FSI) continues to show African countries as highly fragile. The study adopted a mixed-method approach, incorporating both quantitative and qualitative analyses. Data collection involved literature reviews, structured online questionnaires, and Key Informant Interviews (KIIs), guided by the Policy Design Process Theoretical Framework. Findings revealed minimal engagement and low awareness of the AU Peace Fund among Nigeria’s Organized Private Sector, with 97% of respondents and their organizations unaware of the Fund and not consulted in the policy design process related to Silencing the Guns. Based on these findings, the study recommends an overhaul of the AU’s policy development process to better incorporate the private sector, thereby enhancing the effectiveness of its peace and security initiatives. A comprehensive policy review, with active involvement from the Organized Private Sector in Nigeria, is also advised to align with international best practices and foster a more inclusive and sustainable approach to regional peacebuilding.