NAN-H-6
Investment
By Akeem Abas
Ibadan, April 2, 2017 (NAN) States in the South West Zone have pledged commitment to the improvement of the investment climate to attract investors and ensure development and industrialisation of the region.
They made the disclosure at a consultative forum tagged, “Ease of doing business, ” which held at Owu Crown hotel in Ibadan on Saturday evening.
The forum was organised by the Development Agenda for Western Nigeria (DAWN ) in partnership with the Department for International Development (DFID).
The representatives of the states–Mr A.R Alonge (Ondo), Mrs Folakemi Akinleye (Oyo), Musari Olukayode (Ogun) and Gabriel Oso (Osun)—in various submissions, pledged to provide an investment-friendly climate to promote SMEs and other investors.
They, however, lamented the non-repayment of over N2 billion in loans given to SMEs in the zone, saying this was affecting the sustainability of the initiative.
Stakeholders at the forum , in their presentations, had called on governors in the zone to review policies on small and medium business enterprises to allow industrialisation and development to thrive.
The forum, which had in attendance representatives of the South West states, also attracted participants from the private sector, NDLEA, NAFDAC, SMEDAN, Civil Society Organisations, security agencies and Corporate Affairs Commission.
Mr Adetayo Adeleke-Adedoyin, a Staff Analyst at the DAWN commission, said that stakeholders have roles to play in identifying challenges and proffering solutions to drive development in the zone.
“Nigeria was ranked 169 out of 190 countries in 2016 on ease of doing business.
“This was the reason for the constitution of a presidential committee by the Ffederal Government to unravel challenges of doing business and proffer solutions,” he said.
He noted that if the southwest and southeast zones succeed in their ease of doing business initiatives, it would impact positively on the country’s development..
Mr Vincent Attah of Development Initiative Network, said existing policies and framework for doing business did not factor in the interests of small and medium enterprises.
“These laws did not incorporate the interests of small and medium enterprises thus hindering them in the bid to thrive, ” he said.
Also speaking, Mr Temitope Richard-Banji of LEAP Africa, noted that SMEs face stringent conditions arising from government policies and lack of financial literacy education on the part of small business owners.
He called for flexible policies that would recognise business interests on case-by-case basis to encourage development of business initiatives and drive development in the zone.
“It is really challenging doing business in the Southwest Zone and Nigeria. Government policy is not friendly. Everybody is talking about agriculture but the farmers do not have access to the funds.
” The banks ask for collateral. How will somebody who is just trying to start business meet the requirements that favour only established companies?
“Also, NAFDAC registration requirements for start-up businesses in Nigeria need to be reviewed. If the policies are reviewed or treated on a case-by-case basis, it will ease doing business in Southwest Nigeria.
“There is need for financial literacy education. People are doing business because they have money but lack business plan.
“ Human capital development is important for businesses that want to scale up,” he said.(NAN)
TAA/OJO
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(Edited by Mufutau Ojo)