Ekiti, Enugu, Bayelsa, Ebonyi, Gombe, Jigawa, Abia and eight other state governments failed to attract investments in the first half of the year 2019, a report by the National Bureau of Statistics disclosed.
Others listed in the report are Kebbi, Kogi, Osun, Plateau, Sokoto, Taraba, Yobe and Zamfara.
The NBS’s capital importation report contains the total amount of fresh investments attracted to the Nigerian economy during the period of time.
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What it means: It means none of the 15 states governors contributed to the $14.31 billion the other 21 states attracted between January and June 2019, and that is contrary to their electoral promises.
The states that got new investments included Lagos State, which attracted the highest amount of $8.9 billion during the six-month period. The $8.9 billion investment inflow into Lagos State represents about 62.19% of the $14.31 billion.
Followed by the Federal Capital Territory which attracted a total investment inflow of $5.25 billion. Adamawa State attracted the sum of $25 million; the same with Benue and Cross River states while Imo, Kano, Rivers, and Kaduna states recorded investment inflow of $3 million, $1.1 million, $2.2 million and $41.4 million and $4.13 million, among others.
In the same vein, Akwa Ibom recorded inflow of $55,035, Anambra, $61,000; Bauchi, $99,980; Borno, $500,000; Delta, $40,000; Katsina, $576,796; Kwara, $200,000; Niger, $67,156; Ondo, $26000; Ogun, $7.01 million and Oyo $2.03 million,
Factors responsible: The Founder of Stanbic IBTC Bank Plc, Mr Atedo Peterside, had said that the level of structural imbalance in the country was forcing investors to exit from the country.
In a paper delivered at the 25th Nigerian Economic Summit, Peterside described the draft Petroleum Industry Bill produced by the previous administration as “myopic,” as it was incapable of stimulating the needed investments in the sector.
He said, “Investors appear to have concluded that the Nigerian economy is rigged against all except the very well-connected and they are right.
“By definition, the well-connected investors are few and so our Investment/GDP ratio is likely to remain low until we make it possible for all other investors to come back and partake in the task of baking a bigger cake on the basis of a level playing field.”
He said currently, only those that were “well-connected” could expect to have security of their lives and property, prompt dispensation of Justice, sanctity of contracts and non-harassment from multiple rogue regulators.
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Way forward: He said, “It is not too late for the President (Muhammadu Buhari’s government) and our national assembly to take a cue from Mozambique and learn how to enact laws that provide clarity and reduce uncertainty for investors in the oil and gas industry and other sectors.”
