Nigeria at 64: Tinubu-Led Administration Attracts Over $30 Billion in Foreign Direct Investment
by by Zainab Iwayemi · Legit.ng News · Join- Nigeria has received over $30 billion in foreign direct investments over the course of the last year.
- The Tinubu administration declared its support for free enterprise, free entry into the investment sector
- Ministerial approval for the ExxonMobil/Seplat divestment is expected in a few days, according to President Tinubu
Legit.ng journalist Zainab Iwayemi has over 3-year-experience covering the Economy, Technology, and Capital Market
Nigeria has received over $30 billion in foreign direct investments over the past year as a result of the administration of Bola Tinubu's numerous reforms.
The president made this revelation on Tuesday during his 64th Independence Day commemoration speech.
The administration of Tinubu also outlined its commitment to free enterprise, free admission, and free exit from the investment sector according to a Channels TV report.
He said:
“Thanks to the reforms, our country attracted foreign direct investments worth more than $30 billion in the last year.
“Fellow compatriots, our administration is committed to free enterprise, free entry, and free exit in investments while maintaining the sanctity and efficacy of our regulatory processes.
“This principle guides the divestment transactions in our upstream petroleum sector, where we are committed to changing the fortune positively.”
In light of this, President Tinubu stated that ministerial permission for the ExxonMobil/Seplat divestiture will come in a few days.
According to him, the agreement was reached in compliance with the Petroleum Industry Act (PIA) by the Nigerian Upstream Petroleum Regulatory Commission (NUPRC).
“This was done in the same manner as other qualified divestments approved in the sector. The move will create vibrancy and increase oil and gas production, positively impacting our economy.”
The acquisition of ExxonMobil Nigeria's offshore shallow water operations was the subject of the agreement between Exxon Mobil Corporation and Seplat.
But with regard to the sale of these assets, the Nigerian National Petroleum Company Limited (NNPCL) made the decision to exercise its Right of First Refusal (RFR).
Investors abandon banking stocks
Legit.ng earlier reported that the market capitalisation of banking equities listed on the Nigerian Exchange decreased by around N1.62 trillion after the Central Bank of Nigeria ordered the nation's banks to recapitalise.
Deposit Money Banks were instructed in March to recapitalise by the Central Bank of Nigeria.
According to the CBN circular, this round of recapitalisation will only recognise the share capital and share premium items on the shareholder fund component of the balance sheet.