Osinbajo Warns Foreign Investors: Swing Into Action Now Before It’s Too Late
Acting President Yemi Osinbajo has warned foreign investors to take advantage of the government’s policy of opening up numerous opportunities before they later regret for delays.
Professor Osinbajo warned: “anyone who doesn’t invest in Africa or Nigeria in 10 year’s time, they would be queried by their establishment, by their businesses that “you just missed out on the best possible opportunity” and you know that it is easy to miss out on the best possible business opportunity.
“Really, Nigeria is a place that is waiting to happen and it will happen. That’s really the point. It will happen. The truth of the matter is that any country that opens itself to free enterprise, the way Nigeria is opening itself to free enterprise, will somehow find that it will work.”
The Acting President, who spoke today, Monday, at Nigeria Initiative for Economic Development at the Presidential Villa, Abuja, gave an example of MTN which took the bull by the horns at the time many investors in telecommunications industry thought it would not happen.
“I remember that I was counsel; I was a lawyer, teaching in the university but also in corporate practice when the first telecom licenses were to be issued. And I recall that at the time, even the most optimistic of the investors (because we had only 400,000 telephone lines at the time) thought well, maybe, in five years, we will double the number of lines or maybe triple the number of lines and then we will make profit in about five years or ten years.
“There were so many who thought, well, it may not be worth it. Aaaah! You know, the business environment is a difficult one. But in about a year of the licenses being granted all of those who did not invest in it, the big telecom companies who did not invest in it, found themselves holding the short end. They realized that it was a huge mistake because in five years, MTN had shown that the telecom sector in Nigeria was just incredibly profitable.
“They had made profit in one year. MTN alone now has something in the order of about 12 million or so lines if not more, and that’s one of the telecom companies that we have.”
Professor Osinbajo drew the attention of investors to power sector, which he said, is going to be much bigger and better than even the Tele-communications industry.
He announced that now, there is a massive payment assurance scheme of over N701 billion that the federal government is infusing into the power value chain to free up that value chain.
“Once we are able to do that and we address the issue of tariffs, we open it up again. And then people can come in and the big investors can come in and invest in power.
“This is a country of 180 million people and in another 10 years’ time, we are probably going to be the sixth or seventh largest country in the world. There is no way we are not going to need power, whether it is off-grid power or on-grid power. Power is required by everyone where we have a major power deficit. “So, we are going to open up that power sector and anyone who invests in power sector will definitely make money. No question.”
The Acting President also talked about the abundant opportunities in the agriculture sector and other sectors that are waiting to be explored. [myad]