With $14.2 billion (N5.9 trillion) in diaspora remittance in nine months of 2021 alone, access to the global economy presents a significant opportunity for Nigeria’s economic prosperity. However, limited global mobility for Nigerians needing to tap into global opportunities – as is the case for many other Africans – prevents them from accessing the global funding required to further develop their businesses and investments in their home country. Citizenship by Investment is a practical and effective solution to solving the global accessibility challenge required to realise the true potential of the Nigerian economy within the context of a global economy.
Nigeria is resource-rich with crude oil, natural gas, gold, and copper. The country sits on 206.53 trillion cubic feet of gas which is the most in Africa. Also, Nigeria produces more oil (1.36 million barrels a day) than Libya or Angola who produce 1.17 million and 1.14 million barrels respectively in 2021. While resource endowment contributes to the wealth of a country, true prosperity in the 21st century significantly depends on the innovation and impact of a country’s citizens.
Take India for example, in 2022 Quartz India published an article on the growing number of Indian CEOs in Silicon Valley. The author, Ananya Bhattacharya, observed that “if you fling a stone into Silicon Valley, you are most likely to hit an Indian-origin CEO”. This was not the case a decade ago. FedEx, Twitter, Barclays, IBM, Alphabet, WeWork, Microsoft, Deloitte, and Adobe are a few of the top companies headed by executives of Indian origin. The phenomenon is not a coincidence and can be traced back to decades of financial investment and up-skilling into the Indian economy. Today, India is the world’s biggest recipient of diaspora remittances ($87 billion in 2021, or around 20% of total remittances).
Nigeria has a massive population of around 206 million, growing at a pace that would overtake the United States of America as the world’s third-largest country by 2050. Despite its huge natural resources, population growth will put pressure on resources and slow the pace of economic growth. By opening local talent to global opportunities, Nigeria can create wealth beyond its dependency on natural resources and unlock greater economic prosperity for its people.
A good indicator is the diaspora inflow of $14.2 billion (₦5.9 trillion) in 9 months of 2021 recorded by Nigeria. Diaspora inflow supports domestic production activities. The global financial services expert, PricewaterhouseCoopers (PwC), submitted findings that every $2 billion in remittances that entered Mexico translated to over a $6.5 billion increase in production in the economy.
Access to the global economy presents a significant opportunity for Nigeria’s economic prosperity. However, limited global mobility for Nigerians needing to tap into global opportunities – as is the case for many other Africans – prevents them from accessing the global funding required to further develop their businesses and investments in their home country. Nigerians can currently only travel to 45 countries visa-free and is ranked 81 in terms of passport power globally.
To solve the access gap problem, Citizenship by Investment and Residency by Investment programmes have been a proven solution for HNWI and UHNWI around the world. Citizenship by Investment and Residency by Investment are government-backed investment programmes that allow foreign investors to obtain either a second citizenship or residency status in economically viable countries in exchange for an investment in the country of interest. Between 2011 and 2021, the industry grew 637% to a value of $21.4 billion from $2.9 billion in 2011, underscoring strong demand and growing popularity. These programmes present an opportunity for investors to preserve their connections to their home countries while benefiting from expanded global mobility through greater visa-free travel access. Individuals can benefit from enhanced safety and security, enjoy quality education and employment opportunities abroad, world-class healthcare and lifestyle, tax-efficient regimes, security, and greater investment opportunities.
The world is constantly evolving and with the changing dynamics comes new growth prospects. However, global access is critical to take advantage of these emerging global opportunities. With better global access through Citizenship and Residency by Investment, Nigerians can take advantage of their wealth-creation talents and drive even greater economic prosperity.
If you’re looking to obtain a second Citizenship or Residency by Investment, RIF Trust is the leading Residency and Citizenship by Investment firm in the Middle East and Africa. It’s part of the Latitude Group and has a local focus with a global reach with over 22 offices worldwide, including in Brazil, Canada, Cayman Islands, China, Egypt, India, Lebanon, Malaysia, Malta, Montenegro, Morocco, Nigeria, KSA, South Korea, UAE, UK, and the USA.
For more information on global access, you can reach me @dregueiros or visit www.riftrust.com.