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Nigeria Daily News Claims “Investors Can’t Say No to Nigeria”

Nigeria Daily News wrote an interesting article on the pros and cons of doing business in Nigeria. On the positive side, the article mentions Nigeria’s status as the second largest country in Africa, with its huge oil fields and growth at over 7% annually.

The worrisome aspects of the country include Islamist insurgents in the North, over dependence on the price of oil and corruption and theft from those investing in a naive way.

The article details the success of Dufil Prima Foods who have ridden the wind of change as the Nigerian palette becomes more sophisticated. Mr Singhal says of doing business in Nigeria This is a difficult place to do business, no doubt about it, and you need someone to hold your hand. He then goes on to say that in order to be a successful producer you must produce locally, which in itself can create further problems. Any companies that require a steady stream of electricity would be wise to generate their own.

Looking at the bigger picture, fund managers in the west are still bullish on the prospects in the region, there’s a lot more interest in Nigeria now from frontier specialists and emerging market funds Graham Stock, of Insparo Asset Management, which focuses on Africa and the Middle East. (There are) not many places in the world that are growing at 7 per cent and can be reasonably expected to maintain that for some years.

To read the full article click here.