FDI do not grow in countries which do not encourage repatriation of earned dividends and where investors cannot easily access forex for the importation of needed equipment, machineries and material inputs for their smooth operations.
FDI do Not flow to countries that encourage the importation of cheap/low quality products at the expense of local industrial productions. FDI do not flow to countries with highly corrupted and poorly managed sea and air ports
I AM not surprised to read that the FDI receipts by Nigeria from countries since visited by our country’s two top current leaders, show a deep fall, rather than rise. As it is, our people do not realize that globally, capital only flows to where risk/returns of capital investments, are very favourable. As it is today, Nigeria is a high risk, but low returns FDI destination.
Even the airline business which is the most fluid, of all international investment businesses, are divesting from Nigeria. Nigeria as at the last count, is owing a backlog of over US$800 million to foriegn airlines, but has boastfully announced to have recently paid only US$61 million , out of this backlog.
Meanwhile, foreign investors are observing this and the increasing divestment of agelong multinationals from Nigeria. They are watching the stupendous profligacy in the lifestyles of our political leaders in the scenario of Nigeria being the poverty capital of the world.
FDI do not grow in countries which do not encourage repatriation of earned dividends and where investors cannot easily access forex for the importation of needed equipment, machineries and material inputs for their smooth operations.
FDI do Not flow to countries that encourage the importation of cheap/low quality products at the expense of local industrial productions. FDI do not flow to countries with highly corrupted and poorly managed sea and air ports.
I can unendingly go on and on, in concluding that Nigerian leaders are merely going on pretentious FDI attracting trips. They should rather focus on the competent management of our fiscal, monetary, industrial and security problems, while significantly cutting down the cost of governance, reduce corruption to the barest minimum, while improving employment and the purchasing power of Nigerians, among many others.
*Prince Shyllon, an engineer, lawyer and art patron, is the Founder of OmoOba Yemisi Shyllon Arts Foundation, OYASAF
