Date post: | 16-Dec-2015 |
Category: |
Documents |
Upload: | cadence-moreno |
View: | 216 times |
Download: | 2 times |
Nigerian Investment Promotion Commission Plot 1181,
Aguiyi Ironsi Street, Maitama District, Abuja. 09-4134317
www.nipc-nigeria.org .
PRESENTATION
BY
ENGR. MUSTAFA BELLO, FNSEEXECUTIVE SECRETARY/CEO
NIGERIAN INVESTMENT PROMOTION COMMISSIONAT THE
NIGERIAN INSTITUTE OF INDUSTRIAL MANAGEMENT
AT THE LAGOS SHERATON HOTEL
APRIL 6th 7th , 2005
‘The Role and Achievements of Nigerian Investment
Promotion Commission’
TABLE OF CONTENTSTABLE OF CONTENTS1. History of NIPC
2. The Role of NIPC
3. The New NIPC and the New Strategy
4. Achievements
5. Conclusion
HISTORY of NIPCHISTORY of NIPC
The Industrial Development Coordination Committee (IDCC) was established as part of institutional reforms necessary for the implementation of Structural Adjustment Programme (SAP).
Daunting problems which militated against its optimal performance resulted in the establishment of NIPC by Act 16 of 1995.
The Role of NIPC
• Improving Nigerian’s image within the investment community as a favorable location for investment;
• Providing services to prospective and current investors;
• Identifying and establishing direct contact with potential investors and persuading them to invest;
• Evaluating the business environment with the objective of advocating for improvements
Benefits of FDIBenefits of FDI
Source of Capital inflow
Employments Creation
Technology Transfer
Increase in Exports
The New Strategy: Targeted The New Strategy: Targeted PromotionPromotionWhy Target?
The Commission has focused its’ promotional resources on attracting a defined sub set of FDI flows; rather than general.
The targeted approach has the commission achieve strategic objectives as it relates to employment, technology transfer, exports and cluster developments.
Another reason for engaging in investor targeting is to attract export-oriented FDI. A focused approach to export-oriented investment is likely to be less costly, vis-à-vis the result achieved, than one in which the commission attempts to attract new investments in more ad hoc fashion.
The New Strategy: Targeted The New Strategy: Targeted Promotion Cont’Promotion Cont’
What we target?
A country or part of it Industries Companies Ultimately individual Managers
NIPC’s Core FunctionNIPC’s Core Function
Investment Promotion
Investors Relations
Policy Advocacy and External Relations
Investors ServicingInvestors Servicing
Pre-investment Phase• Information
• Door-Opener function facilitation of site visits
Actual Investment Phase• Assistance Licenses, start up activities
• Incentives
Post-investment Phase (Aftercare)• On-going trouble shooting
• Make them feel at home
• Support for expansion
Investment ClimateInvestment Climate
Analyze Current Situation• Systematic Feedback from Investors• External Reports(e.g. FIAS, WEF, IMD)• Benchmarking with Compotators Identify Critical Shortcomings• As an economy in general• With regards to key indicators
Investment ClimateInvestment Climate
Work with EMT• Alert them to the problems• Suggest effective remedies• Continue policy advocacy work until
Tracking of FDI in Nigeria
YEARS NO OF COMPANIES RECORDED
FDI INFLOW (Million $)
LOCAL INVESTMENT
(Million N)
EMPLOYMENT GENERATION
1999 38 32.10 4,253.91 3,964
2000 58 47.19 21,166.70 3,683
2001 50 287.29 11,209.75 5,233
2002 117 389.71 25,941.46 19,349
2003 90 240.03 30,277.12 8,240
2004 109 97.65 26,430.32 7,814
TOTAL 462 1,093.97 119279.26 48,283
ACHIEVEMENTSACHIEVEMENTS
Reinvestment by major multinationals e.g. Nigerian Breweries Limited, Guinness Nigeria Plc, Unilever Nigeria Plc., West African Cement Company, Nestle Foods Plc. British America Tobacco company, MTN, V-Mobile, Globacom , etc. amount to over US$4billion
ACHIEVEMENTSACHIEVEMENTS
• Wealthy Nigerians Initiative
Aimed at encouraging wealthy Nigerians at home and in the Diaspora to invest in the country.
• National Council on Investment
To fashion out a national investment policy for the country and also facilitate streamlining of investment promotion activities nation-wide.
• Inter-agency Collaboration/Embassies
Networked with government Agencies and Embassies to establish working relationships with them
• Workshops on Market Fires
Organized two workshops in Abuja and Lagos to sensitize the traders of the negative impact of fire disaster on investment and what could be done to reduce or minimize the menace.
ACHIEVEMENTS CONT’ACHIEVEMENTS CONT’
• Presidential Advisory Council on Investment
Set up by Mr. President to advise on investment and members are people in positions that can influence the investment decisions of their companies as well as their government to invest in Nigeria.. NIPC serves as the Secretariat.
• Policy Advocacy
Effective Policy Advocacy mechanism designed to serve as an interventionist system of addressing problems encountered by investors.
• Business and Investment Forums
Forums packaged to target identified potential investors and multinational companies. Countries visited include: Canada, Malaysia, China, London etc
• Matchmaking Investment Meetings
Organized matchmaking meetings between Potential investors and government agencies, private sector associations, consultants and private companies.
ACHIEVEMENTSACHIEVEMENTS CONT CONT
• Image-building
Embarks on image building activities to project Nigeria as the most profitable investment destination in Africa through adverts in the local and international media, meetings and courtesy call on foreign Embassies etc.
• Collaborations with other International Agencies
UNIDO- in which 75 projects were packaged and promoted abroad; WAIPA and Association of the West African Investment promotion Agencies AIPAWAS) and NIPC is Vice -Chairman of the Association.
• Incentive Package under presidential Cassava Initiative
Prepared appropriate incentive package designed to stimulate investment in the sector.
• Role of NIPC in Micro, Small and Medium Enterprise (MSME) project/World Bank
ChallengesChallenges
• Problems hindering investment into the country
• Inconsistent government policies
• Unfriendly Business laws
• Social vices such as corruption, drug trafficking, insecurity, Financial and economic crimes
• Uncompetitive incentives
• Frequent Labour crises
• Poor state of infrastructure
• High cost of doing business
ConclusionConclusion
With the bias for private sector development, the NIPC is positioned to ‘facilitate’ rapid growth of investments in Nigeria by both foreign and local investors.
Nigeria offers one of the most rewarding investment destination, not just in Africa but, in the World.
Thank you for your attention!