By AbdulKadir Abdullah
During a media interaction in his office in Benin City, Mr. Kelvin Uwaibi, the Managing Director of Edo State Investment Promotion Office (ESIPO) and Ease of Doing Business Secretariat, emphasized the vital importance of the incoming administration of the Federal Republic of Nigeria focusing on and supporting investment promotion. Uwaibi highlighted how this approach can effectively address the current economic challenges facing the country.
Investment promotion serves as a powerful tool in mobilizing resources and tackling economic difficulties, as witnessed in developed nations. Uwaibi emphasized the need for Nigeria to attract significant inflows of investments, particularly Foreign Direct Investments (FDIs), to create jobs, drive development, and combat pressing issues such as unemployment and security concerns.
Despite Nigeria’s abundant natural resources and its status as the giant of Africa, the country has struggled to attract sufficient capital inflows. Uwaibi identified the lack of synergy and support among critical stakeholders, challenging policies, and a reluctance to implement market-friendly reforms as reasons that undermine investors’ confidence. He highlighted the decline in FDIs over the past five years, despite Nigeria’s large population and resources.
Uwaibi drew attention to data from the National Bureau of Statistics (NBS), which indicated a consistent decrease in capital importation into Nigeria. He stressed that Nigeria must take proactive measures beyond relying solely on the Certificate of Capital Importation to capture FDIs effectively. The decline in capital inflows over the years, as outlined by the NBS, highlights the urgent need for investment attraction.
Addressing the economic challenges faced by Nigeria, including declining foreign reserves and currency devaluation, Uwaibi asserted that investment promotion is a crucial tool to address these issues effectively. He called on the incoming administration to focus on and support investment promotion, suggesting that active youth participation in the administration could positively transform the country’s economy.
Uwaibi also emphasized the importance of collaboration among various stakeholders, such as the Nigerian Investment Promotion Commission (NIPC), Investment Promotion Agencies (IPAs) at both federal and sub-national levels, the Nigerian Export Promotion Council (NEPC), and the Federal Ministry of Industry, Trade, and Investment. Additionally, he highlighted the significance of engaging FDI Intelligence and Financial Times, while emphasizing the critical role of political will in supporting investment promotion.
By prioritizing investment promotion, Nigeria can improve its business environment, foster an effective international economic system, create job opportunities, facilitate knowledge transfer (especially in technology), and achieve overall economic growth.
