Nigeria’s investment drops by over $10 billion in H1 2020
Nigerian Investment Promotion Commission, NIPC, says only US$5.06 billion of investment announcements were tracked for the first half of 2020, representing 67 per cent less than the US$15.15 billion recorded in the first half of 2019.
The Commission, in statement made available to newsmen in Abuja, said the decline was consistent with the expected downward pressure on investment flows, caused by the negative global economic impact of COVID-19.
NIPC noted that it continued to send out its Intelligence Newsletter 6 days a week and tracked a total of 34 projects across 16 states, FCT and the Niger Delta Region from January to June 2020.
According to the commission, the top destinations during the period were: Kaduna State with US$2.61 billion, Lagos State with US$221 million, Nasarawa State with US$56 million, Ekiti State with US$50 million and Cross River State with US$15 million.
“Similarly, the top 5 sectors were transportation and storage (40%), information and communication (32%), mining and quarrying (22%) finance and insurance (68%), agriculture (20%), agriculture (6%) and finance and insurance (3%).
“United States of America was the most active source of investments during the period with 43% of the announcements. The other major sources were South Africa (31%), domestic investors (16%), and United Kingdom (8%).
NIPC’s Intelligence Newsletter culls Nigerian investment-related news from various sources. The report is based only on investment announcements cited in NIPC’s Newsletters from January to June 2020 and it may not contain exhaustive information on all investment announcements in Nigeria during the period.
“NIPC did not independently verify the authenticity of the investment announcements but is working on tracking the announcements to facilitate their progress to actual investments,” the commission said.