Nigeria needs more FDIs to funds capital projects – Chukwu

The Managing Director, Cowry Asset Management Limited, Mr. Johnson Chukwu, has said that Nigeria needs appropriate policies that will attract Foreign Direct Investment (FDI) into the country.

He said Nigeria needs to put in place policies that will attract foreign exchange inflow that would enable the country fund capital projects.

Chukwu who stated this in his presentation at a virtual workshop organised by the Capital Market Correspondents Association of Nigeria themed, “Addressing Nigeria’s Fiscal Challenges – Exploring Alternative Fund Approach” said “Our FDI which is what goes to the private sector and infrastructural development has in the last six years (2015-2020) neared flat.

He noted that Nigeria recorded $1.44 trillion inflow of FDI in 2015 as against $1.028 trillion reported in 2020.

“It is a far cry compared to countries like Ghana whose receipts are two times what Nigeria realised and Egypt which is seven times what we received. FDI is an important source of capital funding for a country like Nigeria. Nigeria needs to come out with appropriate policies that will attract FDI especially on foreign exchange,” he said.

He noted that for a less stable economy like Nigeria’s, assessment of social conflicts by potential investors will be a key consideration.

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