2019 investment dropped by $61 billion – NIPC
The Nigerian Investment Promotion Commission, NIPC, says $29.91 billion was tracked as investment announcements for the year ended, 2019, representing 204 per cent less than the $90.89 billion tracked in 2018.
NIPC, in a statement, attributed the huge difference to the uncertainty around 2019 as an election year in the country, which may have contributed to the perception of the economy, and ultimately affected investors’ sentiment.
According to the council, the announcements were tracked through the NIPC Intelligence Newsletter, published 6 days a week, which showed that a total of 76 projects were announced across 17 states plus the Federal Capital Territory and Offshore Nigeria.
It however noted that it did not independently verify the authenticity of the investment announcements but is working on tracking the announcements as they progress to actual investments.
The report showed that Lagos State had the greatest number of projects with 33 followed at a distance by Ogun with 5 and Kaduna with 3.
“In terms of value, US$19.8 billion (66%) worth of investments was announced to be located offshore Nigeria, US$2.6 billion (9%) in Lagos, and US$1 billion (4%) in Ondo.
“Further analysis of the announcements by sector showed that the investors preferred mining & quarrying US$21.5 billion (72%), manufacturing US$3.2 billion (11%), electricity, gas & water supply US$2.3 billion (8%) and transportation & storage US$2 billion (7%).
“Domestic investors were the most active, announcing 39 projects with a total worth of US$10.8 billion (36%), followed by Netherlands, 1 project worth US$10 billion (33%), Canada, 3 projects worth US$2.4 billion (8%), Morocco, 2 projects worth US$2.1 billion (7%), Malaysia, 2 projects worth US$1 billion and Singapore announced 1 project worth US$1 billion (3%) each,” the council said.
NIPC’s Intelligence Newsletter publishes Nigerian investment-related news culled, from various sources.
“The Report is based only on investment announcements cited in NIPC’s Newsletters from January to December 2019; it may not contain exhaustive information on all investment announcements in Nigeria during the period. Nevertheless, the Report gives a sense of investors’ interest in the Nigerian economy,” NIPC said.