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Nigeria has been urged to measure FDI by actual capital deployment rather than investment announcements.
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Experts say jobs, technology transfer, exports and local supply-chain participation should be key measures of success.
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Policy uncertainty, regulatory complexity and infrastructure constraints remain significant obstacles to long-term investment.
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Nigeria’s pension assets of more than ₦31 trillion could support productive investment if more bankable projects are developed.
September 11, (THEWILL) – Nigeria needs to look beyond headline foreign investment announcements and focus on whether pledged capital is actually deployed, creates jobs, transfers technology and improves productivity, investment and economic experts have said.
The experts argue that attracting foreign direct investment (FDI) is only one part of Nigeria’s investment challenge, with policy uncertainty, infrastructure constraints, regulatory overlaps and a shortage of bankable projects continuing to affect the conversion of investor interest into productive economic activity.
The concerns were raised at a pre-summit dialogue organised by the Nigerian Economic Summit Group (NESG), in collaboration with the Federal Ministry of Budget and Economic Planning, ahead of the 32nd Nigerian Economic Summit.
Suleyman Ndanusa, chief executive of Global Mandate Consulting Limited, said Nigeria must move beyond promoting itself as an investment destination and pay greater attention to what happens after investors make commitments.
“Investment promotion tells investors that Nigeria is open for business. Investment delivery ensures that they can actually do business after they arrive,” Ndanusa said.
He argued that Nigeria’s investment performance should not be measured solely by the value of announced deals. Instead, attention should be paid to capital actually deployed, jobs created, technology transferred, Nigerian companies integrated into supply chains, exports generated and productivity gains.
Beyond the headline investment numbers
Ndanusa identified electricity, customs procedures, land administration, multiple regulators, overlapping charges and policy inconsistencies as constraints requiring stronger coordination between government agencies and the private sector.
Abayomi Salami, Director of Policy Advocacy at the Nigerian Investment Promotion Commission (NIPC), said foreign investment needed to produce tangible benefits for the domestic economy.
He identified agro-processing, manufacturing, energy, infrastructure, digital technology, healthcare, mining and logistics as sectors with significant investment opportunities, while acknowledging the need for reforms that reduce the cost and complexity of doing business.
NIPC is also working with the Small and Medium Enterprises Development Agency of Nigeria to connect SMEs with larger companies and improve their ability to participate in investment value chains, Salami said.
Policy predictability is another concern for investors committing capital over the long term.
Why policy stability matters to long-term investors
![French President Emmanuel Macron (R) and Nigerian president Bola Tinubu shake hands as they arrive to give a press conference following a meeting at the Elysee palace in Paris, on November 28, 2024. [Photo Credit: Sarah Meyssonnier / POOL / AFP]](https://thewillnews.com/wp-content/uploads/2026/09/Tinubu-and-Macron.jpg "Tinubu and Macron - THEWILL NEWS MEDIA")
He said uncertainty surrounding the application of new tax provisions to companies operating in special economic and export processing zones could affect investor confidence. Adama argued that incentives offered to investors should also be tied to measurable outcomes, including employment, skills development and local procurement.
Nigeria may, however, have another source of capital capable of supporting investment.
Ifeoma Finnnih, Director, Infrastructure & Climate at Chapel Hill Denham, said pension assets exceeding ₦31 trillion represented a substantial pool of long-term domestic capital, although only a relatively small proportion was invested in infrastructure and alternative assets.
She said the problem was not necessarily the availability of capital, but the shortage of properly structured, bankable transactions capable of meeting investors’ requirements.
Foreign exchange exposure, uncertainty over revenues and offtake, governance weaknesses, sponsor capacity and poor allocation of risks were among the obstacles she identified.
The discussions highlight a broader challenge for Nigeria: converting investment interest and available capital into productive assets capable of expanding businesses, creating employment and strengthening the country’s competitiveness.
Segun Adeyemi serves as the Associate Editor of THEWILL Newspaper, leveraging more than ten years of editorial expertise and a proven track record in mainstream journalism.
