“The Giant of Africa”, “The Heart of Africa”… these are renowned names Nigeria is known for in whole of Africa. Nigeria is the most populous country in the African peninsula having one-sixth of the total population of Africa to itself.
Nigeria is not just famous for its popularity alone but for the excellence in its economical dispositions. Nigeria has the largest market in Africa with 146 Billion Dollars. Nigeria also has the largest gross domestic product in terms of economy. It plays a leading role in the Economic Community of West African States.
Do you know that Nigeria is one of the most famous countries in the world? Why trade in Nigeria? What will be the benefits of someone or some group doing business in Nigeria?
Top 10 Benefits Of Doing Business In Nigeria
The Following Are Top 10 Benefits Of Doing Business In Nigeria
1. Large Market
As earlier said, Nigeria is referred to as the giant of Africa not just because it is the most known country in Africa but for the fact that it homes the greatest number of people in Africa. Nigeria’s population is over 155 million people (every anchor city in Nigeria has a population that exceeds 1 million people)! That means that one of every six people in Africa is a Nigerian.
Nigeria is the eighth most populous country in the world! Nigeria is an excellent place to do business and no doubt. This is because it has a wide market for the distribution of one’s services and products.
Now, the purpose of doing business is to maximize profit and this maximization is usually possible through dealing with many customers who consume one’s products and services. A business that is aimed at attracting much customers would rather choose Nigeria as the best place to trade.
One of the most beautiful things about Nigeria is that there is no quality or nature of products and services that will not be consumed by different sects of people. Also, Nigeria consumes all forms of products, whether local or foreign.
This flexibility in its consumption rate favors every type of business, opening way for all forms of business, answering the foremost questions of “for whom to produce” as one of the problems of the economy.
2. Economic Freedom
The Nigerian Government is absolutely flexible with its policies on the economy. This guarantees a laissez-faire economic conditions for all running and prospective businesses.
So, Nigeria’s economic system is mixed economy but in the real sense, it is more chaptalized than socialized and thus deviates at larger magnitude to the individual ownership and control of the means of production and distribution of goods and services in the country.
I want you to know that a capitalist economy is best for maximizing profits in terms of doing business. Most effectively, when the government is just a bit involved to check the excesses of the effects of monopoly, then it is most favorable.
When a business has the tendency of enjoying good government policies, especially of a government like Nigeria that is trying to fully industrialize its economy not even minding if privatization is the only way to make this happen. In the light of this, any business done in Nigeria automatically enjoys benefits like favorable tax incentives, favorable return in investment, low cost and hence, high standard of living, etc.
3. Infrastructural Benefits
Nigeria is swiftly developing with its physical and industrial infrastructures. Nigeria is forward in its construction of modern social amenities that doesn’t just make the citizens comfortable but support every aspect of business. The present government by the way, has focused mostly on infrastructural development.
These areas include transportation, communication, electricity and water supply. All these critically looked upon are the networking that determines the success of any business. Great portion of the Nigerian revenue both at the state and federal level are focused in the area of infrastructural development.
Hence, physically, structurally, Nigeria is developing rapidly. For example Nigeria’s airports in Kano, Port-Harcourt, Kano, Enugu and Lagos, receive international flights which makes it possible for absolutely favorable international trades. Nigeria too, has several seaports that enables in smooth importation and exportation within the country.
4. Excellent Banking And Finance Sector
Since 1999, the Nigeria Stock Exchange has become extended due to strong performance of the n=banking and finance sector of Nigeria. The sector that has the power to make and mar every existing business in a place is the banking and finance sector. So, It has the power to influence the direction and productive performance of any business.
The Nigerian banking and finance sector is in no doubt the leading in Africa. With the presence of innumerable banks (with numerous branches of each) and other financial institutions in the country, business are being reported to be thriving tremendously.
In 2009, there were focused steps taken to enhance the banking sector and hence, retail banking, internet banking and corporate banking and have been deemed highly competitive. In fact, it is super easy to get loans for any business in Nigeria not just from banks but from other home loans.
5. Political Stability
while it is inevitable for any country to experience political problems. Nigeria also does but despite the periodic crises that are experienced once in a while with negligible or no effects to businesses, Nigeria offers a stable political premise for good business running. The international business community regards Nigeria as the central driver of the vast African market.
6. Abundance Of Resources
Nigeria is so rich with all forms of resources that a large percentage of it has not even been exploited. Mineral resources for example, such as coal, tin, iron ore, Columbite etc. are drivers of a developing economy, since they create huge inflows of foreign investment.
The Nigerian Agricultural sector too, with the large production of food and cash crops such as timber, groundnut, cocoa, oil palm, animal skin and hides, textile and so on, which create a huge chunk of foreign trade returns are very obvious.
What about the petroleum resources? Nigeria is one of the largest oil producers in Africa. All these enables the creation of colorful environment for business success.
7. Access To ECOWAS Benefits
Nigeria, being one of the leading members of the ECOWAS has accrued some benefits of membership such as the tariff-free market and the custom duty exemptions. Any business therefore, running under the Nigerian economy will automatically enjoy these benefits.
Now, with no tariffs for the market and exempted custom duties heavily reduces the cost of carrying out the processes of production. This ensures minimum cost and maximum profits especially for large scale markets.
8. Access To Land
Nigeria is not just rich of abundant resources but Nigeria owns great land tenure systems. It is easy to acquire land as the foremost factor of production in business in Nigeria without hitches.
So, there are lands available for acquisition especially for business-oriented purposes since the policy of the government is geared towards the industrialization of the Nigerian economy.
The affordability of office space and residential spaces is undeniable. This ease of acquiring land for business is one of the benefits of doing business in a country like Nigeria.
9. Access To Labour Varieties
Either skilled, semi-skilled or unskilled labour, Nigeria is imbued with large labour force which enables the availability of the labour factor for any business to carry on its productive process. Nigeria is a home of a lot of citizens below 30 years of age who are willing to take up different forms of jobs in order to become active members of the economy.
Access to labour in a place where the population is enormous and where graduates from different levels of higher institutions trooping out in hundred thousand per year, is super easy. Whatever kind of labour that a business needs is already adequately available in Nigeria where even other countries appeal for labourers from the country when they are lacking.
10. Attraction Of Foreign Investors
An economy that has the ability to attract foreign investors is really at the peak of economic excellence. Nigeria, being a beautiful natural place and with abundant resources that are needed by other parts of the world, attracts a lot of foreigners into the country with either the intention of participating in a foreign trade or just on the bases of tourist attraction.
All these combined together provides a strong foreign investment attachment which seems to be healthy for businesses.
Nigeria is rich in cultural heritage with more than 250 tribes in the different parts of Nigeria. Hardly does a Nigerian not participate in the productive aspect of other countries either as a Nigeria or nationalized member of that country.
Nigerians are people who have been endowed with zeal, focus and relentlessness of not giving up on their dreams. This quality of every Nigerian alone, motivates them to do better in all they do, especially businesses.
The Nigerian power is very contagious and hence, even for a foreigner who comes to do business in Nigeria, this characteristic strength and willingness to carry on and keep on will be transferred to him or her and success will always be theirs at the end no matter how long or hard it takes. For a business, Nigeria is the best place and probably the best place for this in the whole world!