The Nigerian Investment Environment – Opportunities and Challenges. Presentation By Engr. Dideolu Falobi, FNSE, MIoD. CEO Kresta Laurel Limited, Nigeria. On July 30, 2013 in New York, USA

The Question Why and How? The Vice Minister, Foreign Trade of the Kingdom of the Netherlands, Simon Smits, has said that the country will double its investment in Nigeria from its current €8billion in the coming years - www.nigeriacommercetoday.com The Question Why and How? Engr. Dideolu Falobi, FNSE, MIoD, CEO, Kresta Laurel Limited, Nigeria

Investment Opportunities Challenges Outline Country Profile Investment Opportunities Challenges Engr. Dideolu Falobi, FNSE, MIoD, CEO, Kresta Laurel Limited, Nigeria

Country Profile Attained Nationhood in 1914 Became independent in 1960 Location: West Africa Engr. Dideolu Falobi, FNSE, MIoD, CEO, Kresta Laurel Limited, Nigeria

Country Profile Contd. Population: 170,123,740(July 2012 Estimate) Area: 923,768sq.m(Land - 98.6%, Water - 1.4%) Coastline: 853km Climate: Equitorial in the South, Tropical in the Centre, Arid in the North Engr. Dideolu Falobi, FNSE, MIoD, CEO, Kresta Laurel Limited, Nigeria

Country Profile Contd. Natural Resources: Crude Oil, Natural Gas, Gold, Tin, Iron Ore, Coal, Limestone, Bitumen, Bauxite, Talc, Gemstones Agricultural Products: Cocoa, Rubber, Cattle, Cotton, Fish, Cassava, Palm Trees Arable Land Usage: 33.02% Literacy Level: 61.3% Engr. Dideolu Falobi, FNSE, MIoD, CEO, Kresta Laurel Limited, Nigeria

Other Facts GDP Growth: 2009(7%), 2010(8%), 2011(7.4%) GDP in 2011: $247billion(65% of the Economy of West Africa) 13th Largest Producer of Crude oil in the World 11th Highest Proven Reserves of Crude oil in the World 10th Highest Proven Reserves of Natural Gas in the World Engr. Dideolu Falobi, FNSE, MIoD, CEO, Kresta Laurel Limited, Nigeria

Investment Opportunities - Oil & Gas Refineries Petrochemicals Oil Service & Pipelines Oil Prospecting & Exploitation Engr. Dideolu Falobi, FNSE, MIoD, CEO, Kresta Laurel Limited, Nigeria

Investment Opportunities - Oil & Gas Contd. Gas Gathering Gas Distribution Manufacturing of Consumables Training and Consultancy Engr. Dideolu Falobi, FNSE, MIoD, CEO, Kresta Laurel Limited, Nigeria

Investment Opportunities - Power Privatization Power Generation Plants Manufacturing of Power Equipment and Accessories Training & Consultancy Engr. Dideolu Falobi, FNSE, MIoD, CEO, Kresta Laurel Limited, Nigeria

Investment Opportunities - Banking Mergers Acquisitions Organic/Greenfield Entry Training &Consultancy Engr. Dideolu Falobi, FNSE, MIoD, CEO, Kresta Laurel Limited, Nigeria

Investment Opportunities - Construction Housing, Hotel & Malls Roads & Bridges Dams Rail Transport Systems Engr. Dideolu Falobi, FNSE, MIoD, CEO, Kresta Laurel Limited, Nigeria

Others Capital Market Industrialization Steel and Aluminium industry Entertainment, arts, culture, music and drama Engr. Dideolu Falobi, FNSE, MIoD, CEO, Kresta Laurel Limited, Nigeria

Others contd.... IT & Telecoms Water Transport Mining Education & Health Engr. Dideolu Falobi, FNSE, MIoD, CEO, Kresta Laurel Limited, Nigeria

Challenges Integrity of the Judiciary & Security of Agreements Corruption 419 Syndrome Engr. Dideolu Falobi, FNSE, MIoD, CEO, Kresta Laurel Limited, Nigeria

Challenges Contd. Power Supply Infrastructures Access to, and high cost of Long term Finance Engr. Dideolu Falobi, FNSE, MIoD, CEO, Kresta Laurel Limited, Nigeria

PROSPECTS FOR THE MANUFACTURING SECTOR AS A CASE STUDY. Improved Macro Economic Environment  (Political Stability, Corporate Governance, Economic Reforms, e.t.c) Abundance of Raw Materials (Minerals & Agriculture) Land Resources Engr. Dideolu Falobi, FNSE, MIoD, CEO, Kresta Laurel Limited, Nigeria

Rich Variety of Energy Sources – Gas, Coal, Hydro, Solar, Wind Increasing Pool of Talents Large Population – Availability of Inexpensive Labour and Market Positive Economic Outlook. Engr. Dideolu Falobi, FNSE, MIoD, CEO, Kresta Laurel Limited, Nigeria

Increasing Pool of Talents Large Population – Availability of Inexpensive Labour and Market Positive Economic Outlook. Engr. Dideolu Falobi, FNSE, MIoD, CEO, Kresta Laurel Limited, Nigeria

Case Study - MTN Please read "FDI In Telecommunications, The success of MTN IN Nigeria" by Covadonga Velasco, Samy Belemi and Wouter Belmans Engr. Dideolu Falobi, FNSE, MIoD, CEO, Kresta Laurel Limited, Nigeria

Case Study - MTN. Contd (http://www.google.fi/url?sa=t&source=web&cd=4&ved=0CD8QFj AD&url=http%3A%2F%2Ffaculty- course.insead.edu%2Fdutt%2Femdc%2Fprojects%2FFinal%2520R eport%2FFDI%2520in%2520Telecommunications- %2520MTN%2520Nigeria.doc&ei=lTbFUKe0OtGN4gSbiIBo&usg =AFQjCNGQL2W6pRS52ejuJsPMaqDqgfMclQ) Engr. Dideolu Falobi, FNSE, MIoD, CEO, Kresta Laurel Limited, Nigeria

Case study manufacturing: DANGOTE GROUP(www.dangote-group.com) Wholly indigenous Started as a trading company importing Commodities mainly Sugar, Salt & Cement Keyed into the government’s backward integration policy in 2002 Engr. Dideolu Falobi, FNSE, MIoD, CEO, Kresta Laurel Limited, Nigeria

DANGOTE GROUP Contd. Today, the Group is arguably one of the biggest Conglomerates in Africa Today, the promoter, Alhaji Aliko Dangote, GCON is, according to Forbes, the richest man in Africa with an asset base of $16.1billion in March 2013 as against $3.3billion in March 2008. Engr. Dideolu Falobi, FNSE, MIoD, CEO, Kresta Laurel Limited, Nigeria

DANGOTE GROUP Contd. SUGAR 1.4million P/A         2nd Largest Sugar Refinery in the world Largest in Sub-Sahara Africa Engr. Dideolu Falobi, FNSE, MIoD, CEO, Kresta Laurel Limited, Nigeria

Installed Capacity of 600, 000 metric ton P/A SALT                      Installed Capacity of 600, 000 metric ton P/A Refines, Fortifies & Packages table, Agric and Industrial Salts. Engr. Dideolu Falobi, FNSE, MIoD, CEO, Kresta Laurel Limited, Nigeria

DANGOTE GROUP Contd. Laminated bags 648million bags/Annum Fertilizer(Urea & Ammonia)  2.8million P/A Refinery       450,000 barrels/day Refinery capacity Engr. Dideolu Falobi, FNSE, MIoD, CEO, Kresta Laurel Limited, Nigeria

DANGOTE GROUP Contd. Petrochemicals 650,000 m+pa Feedstock of carbon black 300,000m+pa                                                  LPFO 100,000 m+pa Engr. Dideolu Falobi, FNSE, MIoD, CEO, Kresta Laurel Limited, Nigeria

DANGOTE GROUP’S CEMENT PRODUCTION GROWTH(In Metric Tons) Engr. Dideolu Falobi, FNSE, MIoD, CEO, Kresta Laurel Limited, Nigeria

Incentives & More Information Contact The Ministry of Trade and Investments on www.fmti.gov.ng Contact The Nigerian Investment Promotion Commission on www.nipc.gov.ng Engr. Dideolu Falobi, FNSE, MIoD, CEO, Kresta Laurel Limited, Nigeria

CAUTION! ALWAYS CONSULT ONE OR ANY OF: CORPORATE COUNCIL FOR AFRICA, NIGERIAN INVESTMENT PROMOTIONS COUNCIL(NIPC), EMBASSY OF USA IN NIGERIA NIGERIAN EMBASSY IN USA NIGERIAN-AMERICAN CHAMBER OF COMMERCE FOR ADVICE AND GUIDANCE BEFORE YOU CONSUMATE MAJOR INVESTMENTS, MERGERS OR ACQUISITIONS Engr. Dideolu Falobi, FNSE, MIoD, CEO, Kresta Laurel Limited, Nigeria

Words of Wisdom "Nigeria has the most attractive environment for investment in Nigeria because Nigeria is a large market in the continent; it is the second largest economy in the continent. For me, while we say the country's current investment climate could be better in terms of providing electricity, access to finance and other things, you should also look at the huge opportunities for investment in Nigeria" - Marie Francoise Marie-Nelly, Country Director, World Bank, Nigeria. Engr. Dideolu Falobi, FNSE, MIoD, CEO, Kresta Laurel Limited, Nigeria

Engr. DIDEOLU FALOBI, FNSE, MIoD Managing Director/CEO, Kresta Laurel Limited, 376, Ikorodu Road, Maryland, Lagos, NIGERIA. Tel: +2348056121213, +2348035244004 E-Mail: dideolu.falobi@krestalaurel.com www.krestalaurel.com

THANK YOU ALL. Engr. Dideolu Falobi, FNSE, MIoD, CEO, Kresta Laurel Limited, Nigeria