The Impact of Insecurity on Nigeria’s Economic Growth
In a recent address, the outgoing French Ambassador to Nigeria, Ms. Emmanuelle Blatmann, emphasized the detrimental effects of insecurity on Nigeria’s journey towards economic prosperity. Despite Nigeria’s potential to become a global economic powerhouse, the persistent security challenges are hindering its progress.
The Missed Opportunity in the Oil and Gas Sector
Blatmann highlighted a missed opportunity for Nigeria during the war in Ukraine, where European countries sought alternative sources for gas and oil. Nigeria, being a potential supplier, faced challenges due to insecurity and oil bunkering, causing European nations to turn to other solutions. This setback not only impacted existing contracts but also led to a loss of potential revenue for Nigeria.
Oil Boom Setback and Business Closure
The French envoy expressed frustration over the disruption in the oil and gas sector caused by insecurity. She cited instances where oil exploration companies had to close down, attributing the shutdowns to the alarming rate of oil theft – reaching as high as 90 percent of pumped oil being stolen. Blatmann questioned the sustainability of such conditions for businesses.
Security as a Prerequisite for Business Growth
Highlighting the crucial role of security in attracting businesses, Blatmann emphasized that resolving security challenges is paramount for Nigeria to regain its economic momentum. She underlined that to bring back the oil boom and attract foreign investments, ensuring a secure environment is imperative.
France’s Continued Investment in Nigeria
Despite the challenges, Blatmann acknowledged Nigeria’s immense potential and opportunities. She revealed that France remains the second-largest contributor of foreign direct investment (FDI) into Nigeria. Through its development bank, Agence Francaise de Developpement (AFD), France has been actively providing concessionary loans to support Nigeria’s development initiatives.
France’s Commitment and Recognized Potential
Over the last decade, France has doubled its investment in Nigeria, with French companies employing over 10,000 Nigerians. Blatmann emphasized that Nigeria ranks among the top five countries benefiting from substantial investments by France, surpassing many major Francophone African countries.
Unleashing Nigeria’s Economic Potential through Security
In conclusion, the outgoing French Ambassador stressed that addressing security concerns is pivotal for Nigeria to unleash its economic potential. The missed opportunities in the oil and gas sector and the closure of oil exploration companies underscore the urgency of implementing effective security measures. As Nigeria continues to grapple with these challenges, the international community, especially France, remains committed to supporting the nation’s efforts to overcome obstacles and thrive on the global economic stage.
Subscribe to Follow Global Trends for daily global news.To Advertise, send a mail to advertise@followglobaltrends.com