Download presentation
Presentation is loading. Please wait.
Published byDaniella Randon Modified over 10 years ago
1
STATING THE CASE FOR INVESTING IN NIGERIA SESSION ONE: INVESTING IN NIGERIA BY ENGR. MUSTAFA BELLO, FNSE EXECUTIVE SECRETARY/CEO NIGERIAN INVESTMENT PROMOTION COMMISSION
2
OUTLINE THE CURRENT ECONOMIC EFFORT OF GOVERNMENT THE CURRENT ECONOMIC EFFORT OF GOVERNMENT Policy Thrust of Government Policy Thrust of Government Investment Opportunities in Nigeria Investment Opportunities in Nigeria Investment Incentives Investment Incentives Investment Promotion and Facilitation Investment Promotion and Facilitation What we do for Investors What we do for Investors Why Nigeria Why Nigeria
3
THE CURRENT ECONOMIC EFFORT OF GOVERNMENT Objectives: Diversify the economy away from oil to non-oil sectors, and drive investments into the critical infrastructure sectors - power, transportation etc Diversify the economy away from oil to non-oil sectors, and drive investments into the critical infrastructure sectors - power, transportation etc Enhance agriculture sector productivity, including agro-processing and manufacturing to ensure food security – promotion of large scale commercial agriculture (N200 billion provided in 2009 budget) etc Enhance agriculture sector productivity, including agro-processing and manufacturing to ensure food security – promotion of large scale commercial agriculture (N200 billion provided in 2009 budget) etc Identify and address obstacles to Doing Business in Nigeria Identify and address obstacles to Doing Business in Nigeria Create an enabling environment in which the private and public sectors can work in partnership for poverty eradication and wealth creation Create an enabling environment in which the private and public sectors can work in partnership for poverty eradication and wealth creation Improve operations at the sea, air ports and customs operations Improve operations at the sea, air ports and customs operations Improve social service delivery and promote human capital development. Improve social service delivery and promote human capital development.
4
POLICY THRUST OF GOVERNMENT Deepen democracy and the rule of law, build an economy driven by the private sector Deepen democracy and the rule of law, build an economy driven by the private sector Transparency and Accountability; Zero-Tolerance for Corruption; Fiscal Responsibility etc Transparency and Accountability; Zero-Tolerance for Corruption; Fiscal Responsibility etc Commitment to promoting priority Sectors under the auspices of the Seven Point Agenda Commitment to promoting priority Sectors under the auspices of the Seven Point Agenda Commitment to long term strategic planning for rapid and sustainable economic growth; under Vision 20-2020 Commitment to long term strategic planning for rapid and sustainable economic growth; under Vision 20-2020 Corporate Governance with renewed interest in the use of regulation in economic management instead of discretion Making Nigeria a haven for Foreign Direct Investments
5
INVESTMENT OPPORTUNITIES IN NIGERIA Investment Opportunities exist in all sectors of the economy, especially: Investment Opportunities exist in all sectors of the economy, especially: Power/Energy Oil & Gas (extractive and non-extractive) Agriculture & Agro Allied Maritime, Shipping and Ports Solid Minerals Banking & Financial services Tourism / Hospitality Manufacturing Pharmaceuticals and Health services Information & Communication Technology (ICT) Industrial Parks and Clusters
6
INVESTMENT INCENTIVES IN NIGERIA Natural Incentives Large country – 923,768 square kilometres and population of about 140m – 20% of Africa Vast arable land – over 60% of Nigerian land area is suitable for agriculture and remains under utilized, land tenure changes underway Trainable, resourceful and cost effective workforce with 60% youth Strategic location – hub of the West and Central Africa and access to large markets Relative absence of natural disasters/calamities; i.e. no earthquakes, hurricanes or major floods etc.
7
INVESTMENT INCENTIVES IN NIGERIA Statutory Incentives Up to 5 years tax holiday * Capital Allowances: Research & Development – use of local inputs – 140% Investment in infrastructure 20% of costs Minimum local raw materials utilization – 20% for 5 years Very low VAT regime of 5% Free Zones: No personal income tax 100% repatriation of capital and profit No foreign exchange regulation 100% foreign ownership allowed No pre-shipment inspection of goods No expatriate quota required
8
INVESTMENT PROMOTION AND FACILITATION NIPC is the Government agency charged with responsibility for promoting and co-ordinating both foreign and domestic investments into Nigeria NIPC is the Government agency charged with responsibility for promoting and co-ordinating both foreign and domestic investments into Nigeria Enabling Act No. 16 1995 Enabling Act No. 16 1995 Major Features Major Features Liberalization of the economy Liberalization of the economy 100% ownership of investment in any sector (except ones listed in the ‘negative list’) irrespective of nationality 100% ownership of investment in any sector (except ones listed in the ‘negative list’) irrespective of nationality Guarantee against nationalization or expropriation by any government of the Federation Guarantee against nationalization or expropriation by any government of the Federation Guarantee of unconditional transferability/repatriation of funds through an authorized dealer, in freely convertible currency Guarantee of unconditional transferability/repatriation of funds through an authorized dealer, in freely convertible currency Supporting Act Supporting Act Foreign Exchange (Monitoring and Miscellaneous Provision, Act No. 17, 1995) which liberalizes funds transfer Foreign Exchange (Monitoring and Miscellaneous Provision, Act No. 17, 1995) which liberalizes funds transfer
9
WHAT WE DO FOR INVESTORS Arrange and facilitate meetings with relevant Government Agencies/State Governments in Nigeria Arrange and facilitate meetings with relevant Government Agencies/State Governments in Nigeria Arrange and coordinate site visits as part of pre- investment activities and post investment services Arrange and coordinate site visits as part of pre- investment activities and post investment services Provide prompt assistance to investors and dedicate an account team to projects Provide prompt assistance to investors and dedicate an account team to projects Advise/advocate for policy changes that favorably affects and support investments Advise/advocate for policy changes that favorably affects and support investments
10
…WHAT WE DO FOR INVESTORS Provide entry licenses and permits through the OSS window Provide entry licenses and permits through the OSS window The One Stop Shop named One Stop Investment Centre (OSIC) established in the NIPC on the 20 th of March, 2006 is reducing the bureaucratic bottlenecks faced by investors in terms of Business Entry and running business in Nigeria The One Stop Shop named One Stop Investment Centre (OSIC) established in the NIPC on the 20 th of March, 2006 is reducing the bureaucratic bottlenecks faced by investors in terms of Business Entry and running business in Nigeria 24 hour business entry time line in place in the OSS 24 hour business entry time line in place in the OSS 13 Government Agencies at the Centre to help investors to navigate through legal and regulatory framework of doing business. (Additional 22 agencies will join the centre this year) 13 Government Agencies at the Centre to help investors to navigate through legal and regulatory framework of doing business. (Additional 22 agencies will join the centre this year)
11
…WHAT WE DO FOR INVESTORS Shortens and simplifies administrative procedures for the issuance of business approvals, permits/licenses, tax registration/enquiries and company incorporation Shortens and simplifies administrative procedures for the issuance of business approvals, permits/licenses, tax registration/enquiries and company incorporation Provides statistical data and information on the Nigerian economy, investment climate and sector specific legal and regulatory framework Provides statistical data and information on the Nigerian economy, investment climate and sector specific legal and regulatory framework Process and facilitate requests for expatriate quota and intervene on immigration matters (STR, TWP, CERPAC) etc Process and facilitate requests for expatriate quota and intervene on immigration matters (STR, TWP, CERPAC) etc Removes bottlenecks faced by investors in establishing and running business Removes bottlenecks faced by investors in establishing and running business Reduces the cost of doing business in Nigeria Reduces the cost of doing business in Nigeria
12
WHY NIGERIA One of the key goals of the Government is to improve growth and the competitiveness of the country as a preferred investment location Nigeria has been portrayed by reputable organizations as the place to invest in the wake of the Global meltdown – strong fiscal and external positions Real GDP growth averaging 7% with Agriculture, Manufacturing, Services stimulating economic growth Government has taken bold steps to do the right thing ;fix power, develop infrastructure, tackle security, fight financial and economic crimes, improve justice system and reform electoral process to be electorate-friendly Annual Return On Investment of 35% - 45% (70 – 100% in some sectors) Nigeria’s economic outlook is positive and the Government Nigeria’s economic outlook is positive and the Government is committed to move Nigeria forward Given the investment friendly disposition of Nigeria, there is no better time than now to invest in Africa’s most profitable economy
13
THANK YOU FOR LISTENING For more information, visit: www.nipc.gov.ng For Enquiries: osicinfodesk@nipc.gov.ng www.nipc.gov.ng osicinfodesk@nipc.gov.ng www.nipc.gov.ng osicinfodesk@nipc.gov.ng
Similar presentations
© 2025 SlidePlayer.com. Inc.
All rights reserved.