….Urges Nigeria to Learn Lesson from Global Success Stories
By Chibuike Nwabuko
ABUJA (PRECISE POST) – Labour Party presidential candidate in the February 25, 2023 general election in Nigeria, Peter Obi has highlighted that there is a direct relationship between investment and favourable environment, stressing that Nigeria can copy from the economic models that catapulted other nations to the status of investment destination.
Disclosing this on his X account on Monday (today), the former Anambra State governor said investment naturally gravitates toward regions with a conducive environment, much like bees are drawn to honey. This principle is evident when looking at the latest $1.1 trillion influx of investments into the United States in January, driven by factors such as strong governance, security, and a stable rule of law—qualities that make the country an attractive place for business.
Though the U.S. has a GDP exceeding $28 trillion, significantly larger than Nigeria’s GDP of approximately $250 billion, the key takeaway here is not the size of the economy but the environment that drives investment. Notably, this surge of investment into the U.S. occurred without the president embarking on a global tour to attract these funds.
For Nigeria to replicate such success, the right leadership and prioritization of key intangible assets like security, the rule of law, and a strategic allocation of resources toward productive sectors are crucial. These actions can unleash the entrepreneurial spirit, boost productivity, and subsequently attract foreign investment.
Indonesia offers a compelling example of how focused efforts can yield impressive results. Despite having a population similar to Nigeria’s—approximately 265 million versus Nigeria’s 230 million—Indonesia has heavily invested in critical sectors like healthcare, education, and poverty alleviation. These efforts have propelled the nation’s GDP from about $165 billion in 2000 to approximately $1.39 trillion in 2024, marking an eightfold increase.
Other nations have followed a similar trajectory. India, with a population significantly larger than Nigeria’s, saw its GDP grow from about $476 billion in 2000 to $3.73 trillion in 2024—also an eightfold increase. Vietnam, starting with a GDP of approximately $31 billion in 2000, now has a GDP nearing $506 billion in 2024, representing a more than sixteenfold increase.
In contrast, Nigeria’s GDP grew from around $70 billion in 2000 to about $210 billion in 2024, a threefold increase—substantially lower than the growth seen in these other nations.
The key lesson here is clear: if Nigeria wants to see similar economic transformations, it must learn from these nations’ successes and adopt strategies that prioritize infrastructure, security, and investment in human capital. Indonesia, for instance, is now attracting ten times more foreign direct investment than Nigeria, highlighting the importance of creating the right conditions for growth.
The path forward for Nigeria requires bold leadership, a shift in priorities, and a focus on fostering a favorable environment where investment can thrive. With the right moves, a productive and prosperous Nigeria is well within reach.