An investment banker and former Executive Secretary/CEO of Nigerian Investment Promotion Commission (NIPC), Dr Emeka Offor, has urged the government at all levels, to prioritise investment in infrastructure with emphasis on roads. A good road network, Offor says not only attracts investment flow but reduces transportation cost, which ultimately leads to drop in cost of items. Offor spoke with the Saturday Telegraph against the backdrop of the current push by the government, to deepen both the local Foreign Direct Investment (FDIs). Experts say a good road network is a crucial condition to wooing investors into the economy. Offor consented to the fact that Nigeria’s infrastructure, particularly its road networks, plays a cru- cial role in attracting invest- ments.
He said: “Unfortunately, the country’s roads are in a deplorable state, which significantly impacts the in- vestment drive. “The poor condition of Nigerian roads leads to increased transportation costs, reduced productivity, and higher risks for investors. “This makes it challenging for businesses to operate efficiently, as they struggle to move goods, services, and people around the country. “The lack of reliable transportation infrastructure also limits access to markets, raw materials, and other essential resources.
“Furthermore, the bad state of Nigerian roads cre- ates an uneven playing field, where some businesses or investors are forced to bear the additional costs of navi- gating the country’s treach- erous roads. “This can be a signifi- cant deterrent for potential investors, who may opt for more investment-friendly environments with better infrastructure,” he said. The former NIPC boss relayed his experience as someone who had been on a front role of investment drive of the nation.
“From my experience, poor road infrastructure is a major obstacle that needs to be addressed urgently. “By investing in its road networks, Nigeria can improve connectivity, reduce transportation costs, and increase efficiency. “This, in turn, will create a more attractive environment for investors, promoting economic growth and development.” With respect to waivers and concessions grant, he is of the view that it has to be applied discretionally for it to achieve the desired result. “Waivers, grants, and concessions can be great tools for attracting investments and promoting economic growth. “However, if not managed properly, they can have some serious downsides.
“For one, they can lead to significant revenue losses for the government. “This can impact the government’s ability to fund essential public goods and services. “Additionally, if waivers and concessions are abused, they can create an uneven playing field.