NIGERIA, A COUNTRY ON THE MOVE: UNPACKING THE OPPORTUNITIES



Presentation by Rotarian Ndudi Osakwe (Market Entry Advisor) 
to members and guests of the Rotary Club of Jerusalem, Israel


NIGERIA, A COUNTRY ON THE MOVE
UNPACKING THE OPPORTUNITIES

Opportunity is defined as a set of circumstances that make it possible to do something. Today marks the beginning of a new Rotary year, with the presidential theme  ‘Rotary Opens Opportunities’. The theme encourages Rotarians around the world to seize the many opportunities Rotary offers to enrich their lives and the communities in which they serve. According to Holger Knaack, president of Rotary International 2020-2021, everything we do opens another opportunity for someone somewhere, to live a richer, more meaningful life.

Opportunity has also been defined as a good chance for advancement or progress and can exist between countries for business, travel and friendship. Though COVID-19 pandemic shut down the world’s economy, crippled governments, businesses and restricted movements across the world, ironically, the pandemic offers the world a once-in-a- generation chance to remake society and build a better future. 

Courtesy: This Day Newspapers
A country that is on the driver’s seat when it comes to innovation for a better future is Israel.  It is referred to as the Start Up/Scale Up Nation. 
Israel has a thriving business community in Nigeria that pre-dates independence. 







Today we would examine the opportunities that Nigeria presents to the Israeli business community at this juncture of circumstances.

Let us have an overview about the country called Nigeria.



KEY FACTS

Location: Sub Saharan Africa
Borders: Benin Republic, Cameroon, Chad and Niger Republic.
Size: 923, 768 sq km
Land: 910, 768 sq km
Water: 13,000 sq km
Seasons: Rainy Season (April to October) Dry Season (November to March)
Population: 200 million (with 50% made up of 15-54 years old)
Major Tribes: Hausa, Igbo, Yoruba
States: 36
Local Government Areas: 774.
Major Cities: Lagos, Abuja, Kano, Enugu and Port Harcourt
Airports: Lagos, Kano, Abuja and Port Harcourt
Religion: Christianity, Islam and Traditional Religion
Democracy since 1999 (Fourth Republic).
American styled presidential system of government
Currency: Naira
Exchange Rate: N360/$1
Gross Domestic Product: $469.3 billion
Per Capita Income: $2400
Major Trading Partners: India, Spain, Netherlands, USA, France, United Kingdom.
Past Time: Soccer, Swimming, Tennis, Golf and Horse Riding, Cinema

Turn On
  • Largest economy in sub Saharan Africa
  • Huge domestic market, serve as the gateway to the ECOWAS region (15 countries)
  • Endowed with natural and human resources
  • Youthful population, educated and speak English Language


Turn Off
  • Weak Institutions: Health, Legal (dispensation of justice, patents, Licensing), Security
  • Unemployment: It breeds social, economic and security problems. According to the World Food Program, about 13m jobs would be lost in Nigeria due to the COVID-19.
  • Corruption: Misappropriation of funds, embezzlement, nepotism/favouritism etc
  • Food insecurity due to ethnic crises, ecological disasters (desertification, erosion etc)
  • Porous Borders


Opportunities

There is a thriving Israeli business community in Nigeria especially in the cities of Lagos, Abuja, Benin City etc. Some Israeli companies are already doing business in Nigeria, some of them before Nigerian indepedence. of the companies include RCC (Solel Boneh), Nairda, SCC, EMI (MultiLock), DatagroupIT (CheckPoint), Admiral and Megaplaza amongst others. They are involved in infrastructure, water resources development, data warehousing, cyber-security, international trade and shopping mall management etc.

However, opportunities exist for firms looking to further explore the market in the following areas.

Healthtech: Cutting edge medical technology and digital health companies, telemedicine, diagnostics and drug manufacturing
Agritech: Cutting edge technologies for agricultural production, packing houses, aquaculture, horticulture, green houses, dairy and livestock, urban agriculture, technologies that limit harvest losses and increase shelf life of fresh vegetables and fruits. Sensor systems that optimise crop irrigation and fertilisation and improve yield.
Cybersecurity: Cutting edge firms actionable dark web intelligence, device identity and authentication to prevent identity theft, damage, disruption and misdirection.
Fintech: AI based detection and protection against fraud, money laundering and automated teller machines attacks etc.
Surveillance and Emergency Response: Cutting edge technologies the safe guard of utilities and critical national assets, pipeline monitoring, government installations. The use of drones for surveillance and crop monitoring etc
Edtech: AI based education solution that help instructors to provide personalised and scalable feedback. Platforms for virtual learning and on line education. The classroom has moved on line
Border Control: Solutions for biometric identity to stop illegal entry for economic migrants, cross border criminals and terrorism
Infrastructure: Highway Engineering, Broadband Internet, Housing, Dams.
Energy: Renewable energy such as solar and hydropower
Technology Parks and Incubation Centres in collaboration with Universities, friendship exchange, visits between universities and training. Outsourcing facilities

Dangers
  • Agitation from ethnic nationalities for self determination (IPOB) 
  • More revenue allocation (Niger Delta Militants)
  • Terrorism by the Boko Haram insurgency
  • Kidnapping of locals and foreigners in some areas of the country
  • Religious strife


Mitigation
  • Law Enforcement
  • Economic and Financial Crimes Commission
  • Extradition Agreements


Interventions
  • Creation of the Ministry of the Niger Delta, NDDC, NEDC
  • Improved ranking on World Bank Doing Business League
  • Visa on Arrival
  • Generous Incentives including Tax Holidays and Pioneer Status
  • Bilateral Agreements
  • Investor Protection

Facilitation
  • The Nigerian Immigration (www.immigration.gov.ng)
  • The Nigerian Investment Promotion Council (www.nipc.gov.ng))
  • The Corporate Affairs Commission (www.cac.gov.ng)


Pursuing the Nigerian Dream: The story of Pamela Watson.
An Australian spent a couple of years as an expatriate and later a business owner in Lagos, Nigerian commercial capital and wrote a book on her experience and titled Gibbous Moon Over Lagos. In summary, the book is about the highs and lows of  living and doing business in Lagos, Nigeria.

Conclusion
Majority of Israeli companies do not have Africa in mind when they set out to expand abroad but the perception changes quickly for those that take the plunge.  They have success stories.
I wish to borrow these words from Amit Levi, the Head of Israel's Economic Mission to South Africa: ''You have to treat Africa in general as a long-term investment. Once you manage to settle here and create a good reputation that is something that will serve you in the long run."
Nigeria is the largest economy in Africa and is on the move. It is the best gateway to the West African regional market of over 400 million people.  
I thank the president and members of our club, the Rotary Club of Jerusalem for giving me the platform on this day. Indeed Rotary Opens Opportunities!

Thanks for listening...

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