Concern over business environment in Nigeria has been a frontline subject among the critical issues in the discourse of the Nigerian economy. Particularly, the subject of the wobble state of the economy has brought into bear the calls to salvage the economy from the web of weakened fabrics.
Recently, when the record of downturn of the economy have come to pose before the Country with strains of revenue shortfalls, the struggles of the Government itself to execute critical project has become a challenge that only resort to borrowings have been the closest option for the Government. However, the weight of the burden of debts as a result of the continuous resort to several sources of loans within close succession, have pose before the Country the threats of a debt trap which may grip the Country with strangulation, if not pragmatically addressed.
The troubles of revenue shortfall, eroding value of the naira, inflation, among other strains of the deformities of a depressed economy, have brought into bear the need to take critical decision for a redefinition of the working fabrics of the economy. In this light, the submissions of redefining the orientation of the economy has come to take course. In this, the submissions of reconfiguring the Nigerian economy from a consumption based profile to production based orientation have been put forth as foremost demands to reposition the economy. However, achieving this is a confluence of deliberate efforts that must be galvanised to harmonise pattterns to remodel the workings of the economy. The move towards this end is one demanding an ambience configured under a redefined interface that speaks to creating enabling environment for businesses to, not only survive, but largely to thrive with enduring strength.
The challenges of the prevailing environment appear to be sniffing and stragulating to businesses as more enterprises are suffering from the brunt of harsh strings of the economy, forcing more businesses to close-down, while the fortune for expansion of investments have been suffering set back.
The lastest report on investment in Nigeria’s start-ups sector have shown an uptrend, after two consecutive months of decline. In its recent report released on investment highlights, the Nigerian Investment Promotion Council (NIPC) said the investments rose by 114.1 per cent to $123.24 million month-on-month (MoM) in May from $57.55 million in April 2022. Investment in the start-ups had fallen by 78.2 percent to $57.55 million in April from $263.68million in March after a 67.6 percent decline MoM in March. It had risen by a huge 376 per cent in February. Analysis of the report, however, showed that the number of companies that attracted the investments declined to seven from 10 start-ups. The companies span different sectors including fintech, waste recycling, ICT, e-commerce, maritime (freight forwarding), and financial services among others. The companies include Interswitch, a digital payment company; Kaltani, a Nigerian cleaning technology plastic waste recycling company; Identitypass, a company that performs fingerprint and face biometrics matches, ID checks, and identity graphing; Beatastore, a B2B e-commerce platform; Topship, a freight forwarding; Norebase, an African trade technology company and Bridgecard, a fintech company.
The inconsistencies in the profile records are signs of staggering economic conditions. It is time the Government clinch to the necessity to galvanise efforts towards building the framework of the economy, to balance its fabrics upon well established structures and principles vital to drive the course of the economy for profound growth. The prevailing situation has only left the economy groping in shambles. The prevailing harsh conditions pose more threats than fortune to businesses. It is thus, pertinent for the Government to take addressing the strangulatinng strings of the economy with pragmatic firmness to keep to rising demands, against the prevailing traditional rigidity which has left the Country’s economy in its entirety with recalcitrant troubles hostile to pressing realities.