The Federal Government of Nigeria has given the green light to the implementation of the country's first ever investment policy, the National Investment Policy (NIP).
The government has also approved a new national automotive industry development plan (NADIP), which will run from 2023 to 2033. This was announced at the Federal Executive Council meeting, which was held under the chairmanship of Vice President Yemi Oshinbajo.
Leaders in the trade and industry sectors have been discussing the structure of the investment sector and agreed that an investment policy is needed to give confidence to people who want to invest in the country and to give them the confidence to do so.
Over the years, there has been only investment related regulations put in place by the ministries, departments and agencies (MDAs).
However, the harmonised policy is based on the idea that the country should develop quickly through industrialization, and then gradually create a sustainable investment environment to attract the type of investment that we want.
The investment policy focuses on the promotion of investment, facilitation of investment and sustainable development, as well as the promotion of responsible investor behaviour for sustainable development. It seeks to influence investor behaviour in line with globally accepted standards in the fields of environment, health and labour, CSR and anti-corruption.
The new automotive policy was announced by the Minister in a statement released by the Ministry’s Assistant Director, Press & Public Relations. According to the statement, the minister said that the policy would enable the country to transition from combustible to electric solar powered engines.
He said it was a step up from the 2013 auto industry development plan that was in place. The new auto design and development plan (NAIDP) was developed by NADDC to aggressively build on what has already been achieved in the Nigerian automotive industry.
He said the new NAIDP will strategically provide out-of-the-box financial and non-financial incentives needed by the automotive industry manufacturers/ producers, investors, developers, and all stakeholders.
The policy aims to enable an exponential growth in local production numbers, reach 40 percent local content, achieve 30 percent locally produced electric vehicles and create one million jobs. It will also encourage patronage of local produced vehicles by the government and companies operating on government contracts, as well as enhance research and development (R&D) and technology transfer.
In addition, Adebayo said that the country will soon launch a National Trade Policy (NTP) that will govern the country's trade policy from 2023 to 2027. Adebayo noted that the NTP is a review of Nigeria's previous trade policy, adding that the aim is to have a new policy in place to improve Nigeria's trade within the WTO.
