The Nigerian Investment Promotion Commission has reported $8.41 billion new investment announcements in Nigeria in the first quarter of 2021 (Q1 2021), with the manufacturing sector attracting 60 per cent, reflecting the gradual return of investors’ confidence after the COVID-induced decline.
The Q1 2021 investment profile was 75 per cent more than the $4.81 billion reported in the same period in 2020 and 8.38 per cent higher than the $7.76 billion recorded in the previous quarter (Q4 2020).
In its “report of investment announcements in Nigeria (January – March 2021)” just released, NIPC also noted that Balyesa and Delta States emerged top investment destinations during the period, followed by Akwa Ibom and Lagos States.
The report stated: “Bayelsa State received the largest share of the announcements with $3.6 billion in mining and quarrying. Delta State recorded $2.94 billion worth of announcements in seaport construction and power transmission, Akwa Ibom State had $1.4 billion announced in mining and quarrying, and Lagos State with announcements totalling US$0.26 billion in finance, insurance, and manufacturing.”
The report revealed that the leading four destinations accounted for 97 per cent of the total investments announced as against 56 per cent in the corresponding period in 2020.
By sector, manufacturing received the largest investment accounting for 60 per cent at $5.08 billion, followed by construction at $2.90 billion (34 per cent), electricity at $0.26 billion (3 per cent), agriculture $0.11 billion (1 per cent), and others at $0.07 billion (1 per cent).
Domestic investors accounted for 35 per cent of the announcements at $2.95 billion. Other sources were Morocco $1.40 billion, United Kingdom $0.24 billion, and United States $0.08 billion.