Investments commitment to various sectors of the Nigerian economy fell by 67% in the first half of 2019 to $15.15 billion compared to $45.74 billion pledged in the comparative period of the previous year, according to figures of investment announcements obtained from the Nigerian Investment Promotion Commission (NIPC).
The figures were contained in the “Report of Investment Announcements in Nigeria” released by the commission and categorized by sector, investor’s country of origin and decision.
Despite the decline in value, domestic and foreign investors were willing to invest in 43 projects in the first half of this year across 12 states of the federation including the Federal Capital Territory (FCT) in the same period in 2018.
A sectional analysis of the announcements shows mining and Quarrying sector got the biggest chunk of $12.3 billion, making it account for 81% of the total value, Manufacturing, 14 % ($2.2 billion), while Finance and Insurance, Information & Communication, and other sectors each accounted for 2 % ($0.2 billion) of the value.
Royal Dutch Shell Plc of Netherlands proposed investment worth $10 billion. As a result, the Netherlands, accounted for 66 percent of the investment pledges, Morocco, 14% owing to $1.5 billion, while Nigeria took 9% of the investment value. Malaysia accounted for 6% while other countries took the remaining 5%.
Other top investors who announced their interests in the review period include Morocco’s OCP Group which planned to invest $1.5 billion in Ogun, Kaduna and Enugu, and Neo Themis/Kingline and Crown Refinery & Petrochemical Limited which declared investments worth $0,.6 billion and $0.5 billion to Ondo, according to NNCP’s report of investment announcements in Nigeria.
Business Day, 01 August, 2019
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