NBCC Forum: Nigeria Remains An Important Market To UK-Catriona Laing

Sunday, September 20, 2020 / 09:40AM/Nifemi Taiyesefor Proshare WebTV/ Header Image Credit: WebTV

Nigeria remains an important market for the UnitedKingdom in global business and trade.

The British High Commissioner to Nigeria Ms. CatrionaLaing gave the reassurance at the recent Global Investor Conference hosted bythe Nigeria-British Chamber of Commerce which discussed the theme "TheFuture of Trade & Investment in Africa.

The Nigeria British Chamber of Commerce in conjunction with HerMajesty's Department of Trade Nigeria and the Federal Ministry of Industries,Trade and Investment held its virtual Global Investment Conference with thetheme "The Future of Trade and Investment in Africa".

According to Laing, Nigeria represents 4% of UK trade within Africawhich is low as the UK's total trade in goods and services in Africa is4.4billion pounds, trade with Nigeria needs to be higher, hence the importanceof the conference.

She noted that the UK was giving top priority to increasing trade andinvestment with Nigeria, especially from the positive outcome of the recentAfrica Investment Summit that was hosted earlier in the year in London.

Speaking further she said Prime Minister Boris Johnson of the UnitedKingdom had developed a huge interest in the 'Africa Rising Story and theOpportunities in the Continent'.

"As a result of the Africa Investment Summit, we announced a new AfricaInvestors Group to bring together major influential investors in Africa with UKrepresentatives to match make and build leveraging technology. Since thelaunch, there have been 300 submissions from high growth African firms, 600opportunities on the platform and 34 matches and Nigeria represents 10% ofthose" She said.

She highlighted the fact that the linkages will be built through threethings namely;

1. Establishing the UK - Africa tech growth ecosystem

2. Scalingup and building the knowledge base on both sides

3. Supportingemerging tech companies and linking them with African countries to try andboost trade and investment.

Ms. Laing acknowledged the fact that Nigeria has been particularly hardhit by the global COVID-19 pandemic/economic crisis because it is an oileconomy and the crash in international oil prices, combined with the difficultyin accessing capital, reflected in the GDP in Q2, 2020 which saw a contractionof -6.1% according to the National Bureau of Statistics.

"The silver lining is that some of the long-overdue structuralreforms that have been needed are currently being addressed from theunification of foreign exchange rates to the removal of fuel subsidies andadjustments in the power tariff," said Laing.

Looking at the longer-term issues that need to be tackled the diplomatcalled for additional reforms in Nigeria around customs processes, landownership, transfer of titling processes which are essential to attracting moreinvestments into Nigeria.

She was optimistic that the Global Investment Conference will spur tradeand investments between the UK and Nigeria.

Mr. Ben Llewellyn Jones, British Deputy High Commissioner, in hisremarks, said that there is a range of opportunities in Nigeria which are oftenoverlooked due to the challenges.

He believed that UK businesses had strong offers for Nigeria, from theUK-Africa Investment Summit which can strengthen the partnership between bothcountries.

The British Deputy High Commissioner said those who want to do businessin Nigeria are encouraged to come as his role will be to support them and thereforms, to make doing business in Nigeria easy, possible and even fostergreater trade, investments and development between the two countries beyondCOVID 19.

Giving his remarks at the event the President and Chairman of CouncilNBCC, Mr. Kayode Falowo, said the purpose of the conference was to discussvarious topical issues that would foster the growth of trade and investmentsbetween Nigeria and Britain, promoting businesses through a virtual exhibitionand offering delegates the opportunity to engage and network with a broadspectrum of Nigerian and British Business owners, professionals and governmentofficials on the platform.

"Previously labelled as the dark continent, Africa is reinventing itselfand has demonstrated to the world that it is emerging and progressing togreater heights, this growth is due to the strong economic progress achievedacross the continent over the past two decades, its large working-agepopulation and growing consumer markets," Falowo said.

Speaking further the NBCC President said Africa offers a huge market forinvestment opportunities for prospective British and other internationalinvestors.

He noted that in recent years, African countries have emerged as some ofthe fastest-growing economies in the world, outpacing global averages and withcountries such as Rwanda, Cote d'Ivoire, Ethiopia, Ghana, Tanzania and Beninrecording over 5% GDP growth in 2019.

The NBCC President asserted that the ravaging COVID-19 pandemic posed agreat risk to African economies as it threatens to erode the growth anddevelopment achieved in the past two decades.

He added "When compared to other nations, given the special historicties between Nigeria and the UK, the value of trade and investments betweenboth countries can be significantly improved upon. The growth of trade andinvestment flows between Nigeria and the UK is certainly one of the key agendasof the NBCC".

On his part, the Honorable Minister of Industries, Trade and InvestmentsOtunba Adeniyi Adebayo, in his goodwill message said the theme of theconference emphasized the elements and initiatives that are the governmentpriorities.

"We will continue to provide leadership for the continent, aneconomic, strong and viable Nigeria to entrench a rule-based environment neededto enhance trade potentials".

He highlighted the fact that as it relates to investment opportunities,the national priority remains to expand local production, and significantlyimprove Africa's pathway for strategic investments. He said efforts willtherefore focus on implementing concerted and predictable policies to diversifythe economy.

"Investors can be assured that policies and reforms that areimplemented will align along with the role of expanding local productioncapacities and market access while protecting the industries," the Ministersaid.

The event featured three-panel sessions. The first-panel session focusedon Africa Continental Free Trade Area: Next Steps discussing harmonization oftrade standards, improving regional value chains and, standardizing export forglobal competitiveness.

The second-panel session discussed foreign direct investment, andeconomic risk, the commencement of trade under the AfCFTA, noting that it wouldoffer hope for the recovery of FDIs into the continent by expandingintra-Africa trade.

Panel session three had Accessing Finance for Increased Trade andInvestment as its topic.