Nigeria is the largest economy in Africa and according to Goldman Sachs, one the next 11 countries with a high potential of becoming among the world’s largest economies in the 21st century.  Nigeria is the most populous country in Africa with 188.5 million people estimated to be 480 million by 2050. It is a youthful population. Over 36% are between 15-35 years.

REASONS TO INVEST IN NIGERIA

• Abundant Resources: Nigeria has enormous resources, most of which are yet to be fully exploited. They include mineral, agricultural and human resources.
• Large Market: Nigeria offers the market in sub-Saharan Africa, with a population of about 180 million people. The Nigerian market potential also stretches into the growing West African sub-region.
• Political Stability: Nigeria offers stable political environment.
• Free Market Economy: The Government has created a favorable climate for business and industrial ventures. Administrative and bureaucratic procedures have been greatly streamlined. The Government has put in place policies and programmes that guarantee a free market economy.
• Robust Private Sector: The country has a dynamic private sector, which has assured greater responsibilities under the new economic environment.
• Free Flow of Investment: Exchange control regulations have been liberalized to ensure free flow of international finance. There is now unrestricted movement of investment capital.
• Attractive Incentives: A comprehensive package of incentives has been put in place to attract investment.
• Fast Growing Financial Sector: There is well-developed banking and financial sector. The investor has easy access to working capital and other credit facilities.
• Skilled and Low Cost Labour: There is an abundance of skilled labour at an economic cost, resulting in production costs, which are among the lowest in Africa.
• Infrastructure: Rapid development of physical and industrial infrastructure, in terms of transportation, communications, electricity and water supply

Investment Opportunities in Nigeria by sectors

Opportunities abound across all the states in Nigeria and across multiple sectors.

Textile and Leather Industry

·         Ginning and Scouring

·         Textiles (Knitted garment, fabrics)

·         Wearables apparels

·         Leather and leather accessories

·         Carpets and Rugs

·         Footwear

·         Cordage, Rope and Twine

Chemical and Manufacturing

·         Paints, Vanishes and Allied Products

·         Medical, Pharmaceuticals and Special Gases

·         Soap, Detergent, Cosmetics, Insecticides and Aerosol

·         Agro-chemicals (Fertilizers and Pesticides) and Foam manufacture

·         Dry cell battery, Automotive Battery

·         Petroleum Refining

·         Gramophone Records and Musical

·         Tapes, Candle, Printing Ink, Toiletries

·         Safety matches, ballpoint and pen

·         Basic Industrial Chemicals

·         Metal Manufacture: Steel Pipe, Foundry

·         Metal packaging and Fabrication

·         Enamel Wares

·         Primary Aluminium Products

·         Galvanized Iron Sheets

·         Nails and Wires

·         Wood Products; Furniture, Plywood and particle board

Extractive Sector

·         Quarry

·         Gems Stone Trading

·         Smelting and Refining

·         Mining Training School

·         Mining, Prospecting and Exploration

Agribusiness

·         There is a US$7.76 billion opportunity in import substitution

·         Crop production; cereals; wheat, banana, plantain, groundnut and cassava

·         Food processing and preservation

·         Livestock and fisheries

·         Agricultural inputs supplies

·         Commodity trading and transportation

·         Fabrication of small scale mechanised technologies

·         Exploitation of timber and wood processing activities

Business Process Outsourcing(BPO)

·         Software Development

·         Website/E-commerce

·         Hosted Applications

·         Disaster Recovery Services

·         Network Operations

·         Desktop Support

·         Helpdesk/Call Centre Support

Power

·         Power Generation: On grid and off grid

·         Power Distribution

·         Manufacturing of equipment; power sector tools and equipment

Healthcare

·         Specialist Hospitals

·         Medical Insurance

·         Diagnostic and Trauma Centers

·         API Manufacturing

·         Ambulance Services

·         Medical Training

·         Mobile Clinics

·         Technology enabled support services

·         Pharmaceuticals Manufacturing

·         Suppliers and Disposables

·         Smallholder Specialist Clinics

·         Medical Devices

Packaging

·         Plastics Packaging (Polyethylene)

·         Metal Packaging (Food Canning)

·         Glass Packaging [Bottled Drinks]

·         Paper Packaging

Tourism Sector

·         Eco-Tourism

·         Beach Tourism

·         Sports Tourism

·         Cruise Tourism

·         Leisure and Recreation

·         Hospitality

·         Natural/Physical Attraction

·         Transportation

·         Conference Tourism

·         Building of tourist lodges

·         Some man-made attractions

Education

·         Creche and Nursery Schools

·         Primary/Secondary Schools

·         Vocational/Technical Schools

·         Book Publishing

·         Education and Academic programs on radio and television

Financial Sector

·         Deposit Money Banking

·         Micro Finance Banking

·         Mortgage Banking

·         Stock Market

·         Bureau de Change

·         General and Industrial Insurance

Infrastructure on Real Estate

·         Mortgage Facilities

·         Affordable Housing

·         Commercial Real Estate

·         Practical Investment

Water Resources

·         Water for direct human consumption

·         Agriculture

·         Hydropower

·         Industrial Production

·         Urban Water Supply

·         Waste Water Management

·         Environmental Production

Automotive

·         Manufacture of vehicles especially low-cost utility vehicles to serve the domestic market with the country also becoming a regional hub for West Africa

·         Supply of equipment to domestic assemblers, supply of components and setting up of local component manufacturing plants

·         Manufacturers of motorcycles and bicycles especially as government’s target of 50% and 100% local content for motorcycle and bicycle respectively is yet to be met

·         There are existing gaps in the repair and servicing aspects of the industry which will become even more obvious with increased local manufacturing

·         Vehicle financing options with terms that are convenient and favourable to people of all income classes

·         In addition, as more corporates shift towards vehicle leasing and fleet outsourcing, a huge opportunity opens up the fleet and leasing business which promises very impressive returns.

Telecommunications and Information Technology

·         Broadband: Development of terrestrial fibre optic network

·         End user devices

·         Market indicators: Over 100,000km of terrestrial fibre optic cable, 52 million internet users and internet penetration of 33%

Oil and Gas

·         Drilling operations

·         Crude oil storage and transportation

·         Gas treatment and utilization

·         Related ancillary services

·         Marketing of products and transportation

·         Search for development of local substitutes for items such as pressure valves, pumps, drilling cement, bits

·         Conversion of crude oil and gas refined petrochemical product and finer chemicals

Transport

·         Port Services management and operations

·         Liner services; Foreign Shipping Companies can engage in the provision of liner services through joint sailing agreement with Nigerian shipping companies

·         Tramp services

·         Provision of train transportation services; freight and passenger services

·         Towage and pilot services

·         Terminal and jetty development

·         Ship acquisition and ship building fund/lifting of crude oil and gas

·         Construction and maintenance of standard gauge rail lines through concession or any of the PPP models

·         Coastal and inland water transportation under Cabotage Law