. Lagos, Rivers, Oyo are top 3 states
Nigerian Investment Promotion Commission (NIPC) reports that it tracked up to $8.99 billion as investment announcements for the third quarter (Q3) of 2021.
This represents a 130% increase ($3.95 billion) above the value the Commission tracked in the corresponding period in 2020, even as it warned that the announcements were not independently validated.
NIPC in its Report of Investment Announcement in Nigeria, released yesterday, said a total of 33 projects were tracked across eight states during the period.
The month of August was the most active during the quarter, accounting for 64% of the total announcements. The top 10 announcements accounted for 96% of the volume tracked. Compared to Q3 2020, there is a marked improvement in the level of confidence in the investing community post COVID-19.
The top sectors were manufacturing (42%), electricity, gas, steam and air conditioning supply (25%), information and communications (23%) and transportation (7%).
In the period covered by the report, Lagos State received the largest share of the announcements with 20 projects accounting for 81% ($7.29 billion) of the total in manufacturing, information and communications (ICT), finance and insurance, human health and social services, and electricity.
Rivers State recorded $300 million worth of announcements in manufacturing and transportation, and Oyo State had $231 million announced in electricity and trade (e-commerce). The three states accounted for 87% of the total investments.
According to the report, the top sectors were manufacturing (42%), electricity, gas, steam and air conditioning supply (25%), information and communications (23%) and transportation (7%).
Also, domestic investors were the most active during the period accounting for 47% of the announcements, followed by announcements from South Korea (22%), South Africa (16%), and the Kingdom of Spain (6%).
Announcements validation
At a parley with journalists in Abuja, the Acting Executive Secretary, NIPC, Emeka Offor, had on Tuesday, said the Commission, as part of its mandate is, “Putting in place a mechanism that would allow the NIPC to validate these announcements and progress them from mere announcements to actual investments.”
To do this, Offor said the Commission plans to sustain engagement with the sub-national governments through the State Investment Promotion Agencies (SIPAs), to expand the current coverage of the Nigerian Investment Certification Programme for States (NICPS).
