NITDA Advocates for Foreign Investment to Bolster Nigeria’s Economy

There is an undeniable wealth of potential held within the minds of the youth – a potential that has long been underappreciated and overlooked. This vigor and talent could be channeled into various industries, yet the lack of proper support often results in talent being wasted. Nigeria, a bustling country ripe with a dynamic market scenario and rich business opportunities, has often been a magnet for foreign investors. Indeed, for anyone keen to explore new markets for business prospects, Nigeria is an undeniable contender. Owing to flexible entry and operation procedures, alongside an efficient local market mechanism, countless enterprises have thrived here over the years.

Yet, the fluctuating exchange rates and security concerns permeating the political sphere had led to many investors retreating. With this in mind, Dr. Isa Pantami, Director-General of the National Information Technology Development Agency (NITDA), has urged the global community to recognize Nigeria as a fertile ground for investment.

During his address at the Gulf Information Technology Exhibition (GITEX) Technology Week in Dubai, Dr. Pantami stressed on the immense potential Nigeria holds for Information Communication Technology (ICT) investments. The pitch sparked positive responses from investors trailing from diverse countries, including the United States, India, Germany, and Norway.

Dr. Pantami vouched for Nigeria’s conducive business environment. He underlined the considerable improvement in necessary amenities, promotion of investments, and the implementation of measures to make business prospects more favorable.

Despite not delving into the challenges concerning macroeconomic stability and the health of the banking ecosystem, these are prevalent issues in the Buhari-led administration. The recent financial bankruptcy of Etisalat, now 9mobile, gives testament to the effects of unstable exchange rates and the lagging health of the foreign banking system.

Nevertheless, Nigeria still stands strong as an attractive choice for investors due to promising interest rates and fruitful returns on investments. Besides the sheer profit, international investments will stimulate Nigeria’s GDP, leading to economic stability in the country.

In order to enhance the viability of such investments, the country plans to increase broadband penetration in Nigeria by 30% in 2018. As part of this initiative, the country has developed an all-inclusive National Broadband Plan. Speaking on this, Dr. Pantami quipped, “We see a good potential for growth in the sector and we are creating an environment that can significantly increase the sector’s contribution to the nation’s GDP. As such, this is a good time to invest in our ICT sector and we invite you to partner with us in the season of growth.”

NITDA has also established an office dedicated to ICT innovation and entrepreneurship. Its mission is to support talented Nigerians and ICT startups, which have shown rapid growth. An example of a beneficiary is Genie Games, which secured second place at the fiercely competitive Start-up movement competition at GITEX 2016.

These improvements in Nigeria’s ICT sector have made the country a hotspot for international tech giants. Recent years have recorded monumental events including the sale of HopStop, an online city transit app created by a Nigeria-born entrepreneur, to Apple for $1 billion. Also, Facebook CEO Mark Zuckerberg’s visit to Nigeria to scout for tech talent during which he extended support worth $24 million to Andela, a Nigerian software company. Furthermore, Nigeria’s e-commerce store, Konga attracted over $65 million in funding in 2014. Nigerian startups were also accountable for an impressive $109.4 million out of $366.8 million raised by African startups.

In conclusion, Dr. Pantami affirmed that the local markets are capable of providing more than 50% of production needs, thereby reducing the cost of doing business. He also highlighted the tax-friendly policy on profits to further support investors.

This renewed sense of optimism and drive to stimulate foreign investment in Nigeria might just be the catalyst the country needs to unlock its full potential and bolster the economy.