Negative Social Media Trends Undermining Investment Inflows — NIPC

The Nigerian Investment Promotion Commission (NIPC) has warned that negative narratives on social media are undermining the country’s investment promotion efforts, cautioning that such commentary could erode investor confidence and slow inflows of foreign direct investment (FDI).

Deputy Director and Head of Planning at the Department of Strategic Services of the NIPC, Abdullahi Shiru, issued the warning while speaking at a fora in a panel session in Lagos.

He stressed that perception plays a critical role in shaping investment decisions, particularly in emerging markets like Nigeria.

According to Shiru, the growing trend of negative commentary, especially among young Nigerians, poses a significant challenge to the agency’s mandate of attracting investors into the country.

“Social media is really affecting our job,” he said. “Don’t speak evil about your country. Our job is to serve Nigeria. Nobody will come and develop Nigeria except we develop it ourselves. If we destroy our country, we are destroying ourselves.”

He explained that foreign investors typically rely on both formal data and informal sentiment, including online discourse, to assess the risk and attractiveness of a destination.

Persistent negative narratives, he noted, can create doubt and discourage potential investors from committing capital.

Shiru emphasised that building and sustaining investor confidence requires deliberate and consistent communication.

He outlined what he described as the “three Ts” of investment promotion messaging: “Tell them what you want to tell them, tell them again, and tell them what you have already told them,” underscoring the importance of repetition and clarity in shaping perceptions.

Beyond messaging, the NIPC official highlighted policy consistency as a critical factor in attracting and retaining investment.

He pointed to ongoing macroeconomic and regulatory reforms as positive signals that have begun to improve Nigeria’s investment climate.

He cited reforms in foreign exchange management, broader macroeconomic policy adjustments, and regulatory interventions by agencies such as the Securities and Exchange Commission (SEC), as well as recapitalisation efforts in key sectors, as measures helping to restore investor confidence.

“The macroeconomic policy, the forex policy, and the reforms being carried out by regulatory agencie have really boosted FDI in the country because investors have that confidence,” Shiru said.

“What investors need is confidence. Once they have that confidence, they will invest.”

Despite these gains, he warned that inconsistent messaging and negative domestic sentiment could offset the progress made through reforms, stressing the need for a more coordinated national approach to projecting Nigeria as an attractive investment destination.

Shiru concluded by urging Nigerians, particularly the youth, to adopt a more constructive tone when discussing national issues, noting that collective responsibility is essential to driving sustainable economic growth and attracting long-term investment.