The Nigerian Association of Chambers of Commerce, Industry, Mines, and Agriculture (NACCIMA) has raised concerns over the departure of businesses from Nigeria, attributing this trend to a range of economic challenges. According to NACCIMA’s president, Dele Kelvin Oye, factors like the Central Bank of Nigeria’s (CBN) foreign exchange policies, inconsistent economic reforms, and high inflation rates have made the business environment increasingly difficult, pushing some companies to seek opportunities in more stable markets.
The exchange rate volatility is particularly troubling, as it impacts import costs and planning stability for local businesses. The uncertainty around access to foreign currency has driven up operating expenses, and without steady access to foreign exchange, companies find it challenging to maintain profit margins or meet international obligations.
Another issue is Nigeria’s fuel sector. Ongoing delays in fully activating refineries like the Dangote Refinery have kept the country reliant on fuel imports, further destabilising prices and impacting businesses reliant on consistent energy supplies. The manufacturing sector, which is particularly energy-intensive, has been hit hard by these fuel challenges, while businesses across various sectors report significant financial losses due to persistent fuel scarcity and high costs.
Oye argues that a policy overhaul is essential. Stabilizing the naira, adjusting forex policies, and clarifying the government’s position on refinery operations are all part of a more comprehensive approach to restore investor confidence. NACCIMA suggests the government work closely with business stakeholders to foster an environment that can attract and retain investments. For NACCIMA, only a comprehensive strategy addressing forex, fuel stability, and policy clarity can reverse the exodus of businesses, revitalize local industries, and drive long-term economic growth.