1. Nigeria – Your preferred investment destination
H.E MR OLUSEGUN AGANGA
Honourable Minister of Trade and Investment
Federal Republic of Nigeria
July 2012

2. Nigeria: Where we are and what’s on offer....
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Nigeria: Where we are and what’s on offer....
Located in West Africa
Nigeria is located on 923,768 square kilometers of land
A rich diverse culture with more than ethnic groups
Made up of 36 states with Abuja as the Federal Capital Territory
The third tier of government consists of local government areas
Nigeria
Show Blown up map of Nigeria…higjhlight the states, highlight the states that are participating that they will hear from…on this slide or next…. 2

3. States represented at the Summit
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States represented at the Summit
Show Blown up map of Nigeria…higjhlight the states, highlight the states that are participating that they will hear from…on this slide or next…. 3

4. Energy Mining Agriculture Large Natural Resource Base
7th largest producer of crude oil globally with 37 billion bbls of proven reserves, Nigeria has a capacity of 3.0mm bpd and is the largest producer of crude oil in Africa
10th largest oil reserves in the world and 8th Largest Gas Reserve
Major player in the gas market – reserves of 187 trillion cubic metres
Geological Survey Agency of Nigeria records 34 exploitable minerals in commercial quantities
84 million hectares of Arable Land with just 40% utilized
Mining
Agriculture 4

5. The large market and strong work force
16 April 2017
Strong Demographics
The large market and strong work force
Nigeria has a population of about 167 million people (3x the population of South Africa) – 7th largest country in the world
By 2050 Nigeria will be the 6th largest country in the world.
2070 Nigeria will have the world’s 3rd largest with a population of million after India and China and above the US.
A growing middle income which currently stands at 23%
The population provides a ready market for telecommunications, IT, consumer goods, agriculture, manufacturing, hospitality & entertainment, construction and housing. 5

6. Investment Gateway to West Africa
Nigeria is well placed to exploit the potential offered by the ECOWAS market, which has a population of over 300 million of which Nigeria makes up 60%. Nigeria also accounts for 47% of the ECOWAS GDP and over 50% of the ECOWAS manufacturing capacity.
In addition to West Africa Nigeria also acts as a significant access point to other African Markets.

7. Strictly Private & Confidential
Global Real GDP Growth
Global growth expanded by 5.1% last year led by strong domestic demand in developing countries. Q Nigeria GDP grew by 6.17% surpassing the forecasted 5.34%
BRICs
High Income
Keep the chart at 2011! 7
Source: World Bank Databank, World Bank Africa’s Pulse 2012

8. Global Real GDP Growth - 2
In an era of instability, Nigeria has grown consistently!
6.7% *
Source: IMF: The World Bank, * Forecasted 8

9. Sector Contributions to GDP in 2012
The largest contributors to GDP (and employment) are Agriculture, Wholesale & Retail Trade and Oil and Gas
Source: National Bureau of Statistics (Q1 GDP Report 2012)

10. Debt Structure –Profile
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Debt Structure –Profile
Nigeria has a conservative debt position with a lot of fiscal space
Average Africa Debt to GDP ratio in 2000s was 59%, Nigeria’s Debt to GDP Ratio is 19.6% (South Africa (35.6%), Egypt (85.7%)
External Debt
Domestic Debt
US$5.91 billion
N5.96 trillion (c. US$38 billion)
83% of External Debt is low-cost, long-tenor concessional debt
Update - DMO 10
Source: DMO

11. Strictly Private & Confidential
Low Debt-To-GDP Ratio
With a Debt-To-GDP under 20% Nigeria has large fiscal space to operate within
Update - DMO
19.6%
Source: Public Debt, International Monetary Fund (IMF) 2011,
(* 2010 data)

12. Development through reform
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Development through reform
Nigeria has established key reforms in critical areas
Electoral Reform
Fiscal Reform
Sovereign
Wealth
Fund
Oil and Gas
Reform
Petroleum
Industry
Bill
Business
Environment/Port
Power Sector
Investment
Climate
Judicial
Agenda 12 12

13. Growth Through Investments

14. Investment Opportunities – comparative advantage
Areas of Competitive and Comparative Advantage
Agriculture
Mining
Oil and Gas
Agribusiness
and Agro-Industries
Solid Mineral
Processing and
Related Industries
Downstream Oil,
Gas Industries and
Oil and Gas Services
Other Key Investment Areas
Power
Infrastructure
(Rail, Roads, Ports)
Real Estates Development
Information and
Communication Technology
Banking & Finance
Healthcare and
Pharmaceuticals
Maritime and Shipping
Free Trade Zones
Industrial Parks and Clusters

15. Why Nigeria?
Source: Economist Intelligence Unit (EIU) 2012 – Selection from 30 countries [% of respondents]
Of all the African markets, investors believe Nigeria will offer the best overall prospect for investment returns over the next 3 years

16. Key sectors of Investment
Source: Economist Intelligence Unit (EIU) 2012
Key sectors investors have identified as providing the best investment returns over the next 5 years

17. Foreign Direct Investment Overview -Nigeria
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Foreign Direct Investment Overview -Nigeria
Nigeria has become one of the top global destinations for FDI
Nigeria recorded US$ 8.9 billion in 2011
21% of Africa’s Inflow
Africa recorded a total of $42.7 billion FDI inflow in 2011
A refocused policy framework to improve Nigeria’s investment climate 17 17

18. Strictly Private & Confidential
Strong trends in FDI
FDI Net inflows into Nigeria in 2011 was the highest in Africa at $8.9 billion, whilst the growth of FDI flows into Nigeria in 2011 surpassed global and regional averages.
Growth in Net FDI
FDI Net inflows
Back to pre-crisis levels
Box back to pre-crisis levels
Source: UNCTAD Global Investment Report 2012

19. Government’s drive in attracting Investment
Make FDI work for local economy; i.e. job creation, supply-chain, developing Nigeria as an outsourcing destination etc.
Target and attract FDI and LDI into key priority sectors of Infrastructure, Agriculture, Mining, Oil and Gas Downstream and Tourism
Promote a Private Sector led growth strategy
Investment in renewable energy sources shall be encouraged
Establishment of the Ministry of Trade and Investment
OSIC strengthened to provide 48 hours service to investors
Industrial Revolution:
Promotion of Value-addition and Import Substitution Industrialization

20. Investment Friendly Incentives - General
No Nationalization or expropriation of businesses by any government of the federation
Foreign investors are free to repatriate their profits and dividends net of taxes through an authorized dealer in freely convertible currency.
Up to 5-7 years tax holiday for activities classified as pioneer
Research and Development – use of local inputs – 120% of expenses are tax deductible
A one-off concession of 20% of the cost of providing basic infrastructure (roads, water, electricity)
A 10% tax concession for 5 years for export oriented industries

21. Examples of International investors
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Examples of International investors
MINING
OIL AND GAS
Downstream
AGRICULTURE
MANUFACTURING
INFRASTRUCTURE 21

22. Investment Highlights for Nigeria
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Investment Highlights for Nigeria
“If it [Nigeria] were to show the same increase in its growth-environment score over the next decade, many investors will look back and say why the hell didn’t I invest in Nigeria”
Jim O’Neill – Global Head of Economic Research Goldman Sachs
“Nigeria was identified as a top pick by some of the most influential investors in emerging markets finance”
July 2010 Reuters Emerging Markets Summit – Sao Paulo
“Africa’s economic momentum is widely recognised and the continent’s long-term growth prospects are very strong and global executives and investors cannot afford to ignore it”
McKinsey & Co 22

23. Investment Highlights for Nigeria
Strictly Private & Confidential
Investment Highlights for Nigeria
Tell me this: which part of the world has seen its number of democracies increase nearly eight-fold in just two decades? Eastern Europe? No, it’s Africa.
Which continent has six of the ten fastest growing economies in the world? Asia? No, it’s Africa.
Which country is predicted by some to have the highest average GDP growth in the world over the next 40 years?
You might think Brazil, Russia, India or China. No. Think Africa. Think Nigeria.
David Cameron
Prime Minister, United Kingdom 23

24. The opportunity is here and we are ready to welcome you..
Thank You
The opportunity is here and we are ready to welcome you.. 24