NESG Urges Government to Build Trust, Fairness, and Policy Stability to Attract Sustainable Investment
The Nigerian Economic Summit Group (NESG) has called on the Federal Government to demonstrate openness, fairness, and predictability in governance and policy implementation as a pathway to attracting sustainable domestic and foreign investment.
Speaking at the 31st Nigerian Economic Summit (NES #31) in Abuja, NESG Chairman, Mr. Olaniyi Yusuf, emphasized that Nigeria’s investment climate remains fragile due to policy inconsistencies, weak investor protection, and limited transparency.
The summit, themed “Building a Prosperous and Inclusive Nigeria by 2030,” brought together policymakers, business leaders, and development partners to chart a roadmap for long-term economic transformation.
Investor Confidence Depends on Fairness and Transparency
Yusuf stressed that foreign direct investment (FDI) remains weak despite some improvement in Nigeria’s fiscal indicators, noting that policy credibility and institutional trust are essential for rebuilding investor confidence.
“The way we treat domestic investors sends a signal to the world,” Yusuf said.
“When our policies are unpredictable, our systems opaque, and our dispute-resolution mechanisms slow or biased, foreign investors see those same risks magnified.”
He urged the government to entrench policy continuity, dispute-resolution mechanisms, and investment protection frameworks, saying Nigeria must provide investors with confidence that rules won’t change midstream.
According to him, openness and fairness are not just moral imperatives but economic strategies that determine how capital flows into developing economies for Sustainable Investment.
A Fragile Recovery Amid Fiscal Improvements
While acknowledging that Nigeria’s fiscal condition has improved, Yusuf warned that inflation, high debt service, and weak private capital inflows continue to constrain growth.
“Debt levels are stable at 40.6% of GDP, but the debt-service ratio remains high.
“Foreign capital is near its lower boundary, and foreign direct investment is still weak,” he said.
He noted that the NESG’s macroeconomic outlook identifies three phases of recovery — stabilisation, consolidation, and acceleration.
Yusuf described the current stage as “painfully progressing through stabilisation,” but warned that without consistency and inclusivity, Nigeria risks stalling the reforms that have already been hard-won.
“Stabilisation is not the destination,” he said. “If we stop here, we risk losing the progress that has been courageously achieved.”
Policy Predictability and Competitiveness as Key Drivers
Yusuf underscored that Nigeria’s investment potential will depend on policy predictability, Sustainable Investment, competitiveness, and social stability.
He said the NESG remains committed to supporting reforms that foster innovation, incentivize private-sector participation, and create an enabling environment for long-term capital attraction.
“Policy credibility and competitiveness are the foundation for attracting capital — both domestic and international,” he noted.
“We must ensure that investment decisions are guided by clear, stable rules that outlast political cycles.”
Government Reassures on Growth and Reform Momentum
In response, Senator Atiku Bagudu, Minister of Budget and Economic Planning, reaffirmed the Federal Government’s commitment to sustaining macroeconomic reforms that will drive inclusive growth and rebuild investor confidence.
Bagudu said the government projects GDP growth of 4.6% in 2025, rising to 5.5% by 2027, supported by inflation moderation and improved fiscal management.
“We are confident that our policies will yield tangible benefits over time. The stabilisation of the exchange rate, declining inflation, and improved fiscal management are already setting the stage for a more resilient economy,” Bagudu said.
He noted that reforms under the Renewed Hope Agenda are aimed at job creation, non-oil revenue growth, and poverty reduction, adding that structural challenges such as exchange rate volatility and production bottlenecks are being addressed through coordinated fiscal and monetary policies.
BRANDECONOMY INSIGHT: Rebuilding Credibility as Nigeria’s New Economic Currency
The 2025 Nigerian Economic Summit reinforced a central truth: capital flows where confidence grows.
In a world of fast-moving global funds, investors are drawn not only to opportunities but to credibility, governance quality, and transparency.
Nigeria’s pathway to a prosperous, inclusive economy will depend less on slogans and more on stability, discipline, and openness.
For global investors, policy certainty is the new currency. For Nigeria, restoring trust is the first step toward unlocking sustainable capital inflows and long-term growth.
BRANDECONOMY TAKEAWAY
The NESG’s call for openness, fairness, and predictability is not just policy advice — it’s a warning.
If Nigeria is to compete for global investment, it must institutionalize trust, reward discipline, and eliminate the uncertainty that undermines investor sentiment.
The government’s reform drive is showing promise, but only consistency and transparency will turn fragile progress into durable prosperity.
