Nigeria Needs Clear, Consistent Policy Reforms To Attract Foreign Investments-World Bank

Advertisement

Nigeria needs a clear and consistent economic policy reform to attract the scarce foreign investment into the country, the Country Director of the World Bank Office in Nigeria, Shubham Chaudhuri, said.

The World Bank chief said this during the Nigeria-British Chamber of Commerce Advocacy roundtable with the theme, ‘Economic Recovery Beyond COVID-19,’ monitored by THE WHISTLER.

The National Bureau of Statistics had said the investment inflow into Nigeria dropped by $4.53bn or 78.6 per cent to $1.29bn in the second quarter of this year

The country had during the same period in 2019 recorded a total of $5.82bn in capital inflow.

Advertisement

Faced with dwindling foreign investment, Africa’s largest economy has embarked on policy reforms to attract the needed investment into the country.

As part of the reform measures, the Federal Government had announced the deregulation of prices of petroleum products, a move which allows market forces to determine prices. The country also removed petrol subsidy.

The World Bank Country Director admitted that the country has been badly hit by the Covid-19 pandemic and the collapse in crude prices.

The impact reflected on the  economy which contracted in the second quarter of 2020 by 6.1 per cent, signaling a possible recession.

The World Bank Chief said that Nigeria needs a strong regulatory environment to attract capital investments into the country.

Advertisement

Chaudhuri said, “This is the opportunity for Nigeria to get back on track to fully realize the development potential which experienced a setback in the last four decades.

“The government has already taken bold steps, such as the Economic Sustainability Plan and other programs and initiatives.”

He called for a transparent and clear economic agenda in Nigeria that is based on structural reforms and provide equal opportunities for both small and large businesses.

According to him, a clear economic policy will accelerate job creation, increased investment inflows, and infrastructure investments.

He pointed that oil rich Nigeria needs the political will that will make the country progress, adding that, “Nigeria’s economy has the potential to become one of the largest in the world.”

Leave a comment

Advertisement