The Minister of Finance and Coordinating Minister of Economy, Wale Edun, addressed the challenges facing foreign direct investment (FDI) in Nigeria, citing the reluctance of foreign investors due to rising inflation in Western countries.
Speaking at the 40th annual Conference of the Chartered Institute of Directors in Abuja, Edun emphasised the government’s need to turn to domestic resource mobilisation and corporate solutions.
The conference, themed “Driving Nigeria’s Economic Transformation and Diversification: The Role of Corporate Governance,” provided a platform for Edun to discuss the economic landscape.
He acknowledged the limited interest of foreign investors in Nigeria, attributing it to global economic conditions, including inflation in Western nations and the necessity to maintain high-interest rates.
Edun emphasised the government’s commitment to President Bola Ahmed Tinubu’s economic policies, aiming to increase productivity, foster economic growth, create jobs, and reduce poverty.
He acknowledged the challenges in attracting foreign direct investments and emphasised the importance of making the economy, institutions, and corporate governance attractive to global investors.
“The big prize is to make our economy, institutions, and corporate governance such that it attracts, from around the world, those interested and have surplus savings to invest in profitable ventures,” stated Edun.
While noting the diversification of Nigeria’s economy, Edun expressed concerns about the reliance on oil as the primary source of revenue.
He underscored the government’s dedication to maintaining a stable economy, ensuring low inflation, stable exchange rates, and reasonable interest rates to encourage borrowing and investment in productive activities.
The minister stressed the importance of strong corporate governance in increasing investor confidence, providing access to capital, promoting risk management, and driving innovation and efficiency.
He commended the Chartered Institute of Directors (CIoD) for its role in enhancing global leadership and providing independent directors across Nigerian boards.
Former Minister of Finance, Dr Olusegun Aganga, echoed concerns about Nigeria’s economic challenges, citing a lack of continuity and policy implementation.
He emphasised the need for strong corporate governance to strengthen institutions responsible for economic diversification and transformation.
President and Chairman of the Governing Council of CIoD, Tijanni Borodo, highlighted the conference’s aim to serve as a platform for sharing insights, knowledge, and strategies aimed at driving Nigeria’s economic transformation and diversification through the lens of corporate governance.
