[size=15pt]Entering Africa: where is a good place to start?[/size]

BY KATE DOUGLAS | FEATURE ARTICLES, FOREIGN INVESTMENT |

FEBRUARY 20, 2013 AT 10:28

http://www.howwemadeitinafrica.com/entering-africa-where-is-a-good-place-to-start-2/24413/

Entering the African market can be quite a daunting task for companies looking to profit from the various opportunities that today’s and tomorrow’s Africa presents, and many have wondered where is a good place to start. With 54 diverse markets offering unique prospects and different challenges, it is a commonly held perception among Africa’s business experts and advisors that it would be foolish to look at Africa as just one market.
KPMG, a professional advisory firm with practices in 33 African countries, launched the Global Africa Project (GAP) at the end of 2011, placing Africa on KPMG’s global high growth market investment programme. According to GAP’s chief operating officer, Anthony Thunstrom, the issue on where to enter the African market is a popular one among their clients.

“It is a question we get asked almost every day and I think the answer is that it depends very much on which sector you are actually dealing with,” Thunstrom told How we made it in Africa in an interview last week. “So different countries are going to have different dynamics that are more attractive to different sectors.”
Having said that, Thunstrom has identified a number of markets that offer companies a good entry point to expand into Africa.

Nigeria: [b]“I think Nigeria for me has to be the standout as the best of the best destination in many ways,” he said.
With a population of roughly 170 million people.. and a growing middle class, Nigeria is a notable market for those looking to target a large consumer base in Africa. According to Thunstrom, financial sector reforms and “the fact that they are cleaning up and reforming the petroleum regulations” have also made this country an appealing market for multinational companies.

“Certainly, for a lot of sectors, I think Nigeria is extremely attractive but has a reputation as not being the easiest country to do business in, and I think that has put some people off,” he added. “But the people who have persevered there have done really well.”
Thunstrom estimates that around two-thirds of the clients he and his team are communicating with are either currently doing business in Nigeria, or are talking to their firm about how to enter the market. “So Nigeria, hands down, would be a very good starting point.”[/b]

East Africa: “If you look at it as a bloc, the East Africa Trade Bloc also has a population that is around about a 130/140 million people and it is seen as a kind of easier place to enter the market,” said Thunstrom.
He added that while it may be more perception than reality, this bloc is often viewed as being more business friendly compared to other regions on the continent, and this is very attractive to those looking to enter the African space.

“[There is] very high standards of education in many cases, great universities, access to good human capital, and excellent IT infrastructure and IT skills,” highlighted Thunstrom. “So again, depending on sector-specific stuff, it is one of the really attractive areas.”

Ghana: “As a specific country, I think Ghana comes in quite close as well,” continued Thunstrom. “The country is doing fantastically well. It’s politically stable at the moment and it gives you entry into that West African market.”
He added that it is also seen as being an easier place to do business in West Africa and allows companies access to the Nigerian market too.

Mozambique: “If you had to ask me where I would be investing nine million in the next five years, to be honest I think in many ways Mozambique would take a lot to beat as well,” said Thunstrom.
“Just the extent of development, the pace… if you actually go to Maputo and take a look at how many companies have set up, how hard it is to find accommodation, the number of multinationals that are literally looking for skilled resources from wherever they can get them.” Thunstom added that this business interest and development has been particularly prevalent in the last 12 months.

Nevertheless, whatever market a client may decide to enter into, Thunstrom stresses that they cannot do it from overseas. He also doesn’t think that the decision should be simply made after a trip to Johannesburg and a couple of meetings with advisors, no matter who they are.
“For me the single biggest piece of advice is that you need to go through those steps to kind of narrow down your focus, but before you even seriously contemplate any particular investment or locking into a strategy you actually have to get on a plane and go and spend some time and immerse yourself in the economies you are looking at,” he stressed. “You will very, very quickly get a sense to whether it’s the place that suits your business, whether you are going to be comfortable doing business there, and it allows you to start meeting the people that you are going to have to be doing business with.”

Linked to that, Thunstrom said that companies entering a new market in Africa should consider finding a local business partner. “In many cases early success has something to do with finding a local business partner; somebody who really understands the local economy, particularly if you have never done business in Africa before… Down the line you might end up setting up your own 100% owned companies but it’s difficult to do that if you are sitting on another continent and you don’t have the oversight of what’s going on in a particular country – typically a lot easier to do it if you have a business partner on the ground who you can trust.”

http://www.howwemadeitinafrica.com/entering-africa-where-is-a-good-place-to-start-2/24413/

[size=16pt]Increasingly wealthy Nigerians: fast cars, healthy foods and fashionable clothing[/size]

BY KATE DOUGLAS | BUSINESS FOCUS, CONSUMER GOODS, FEATURE ARTICLES, NIGERIA | FEBRUARY 13, 2013 AT 13:23

http://www.howwemadeitinafrica.com/increasingly-wealthy-nigerians-fast-cars-healthy-foods-and-fashionable-clothing/24240/

It is generally agreed that Nigeria offers investment potential for companies looking to capitalise off the population’s increased consumer spending power.

German car brand Porsche last year opened a dealership in Lagos, Nigeria.

With the Nigerian middle class growing and favouring supermarkets, the country is becoming a destination for retailers, many of which are South African. In addition, research by Euromonitor International indicates that South African retailers are starting to target cities beyond Lagos and Abuja. Massmart, Woolworths and Shoprite all recently opened stores in the south-eastern city of Enugu, while Massmart and Shoprite have plans to open outlets in the northern city of Kano this year.

Euromonitor’s data suggests that Nigeria’s fastest growing major cities between 2010 and 2030 will be Ibadan, Maiduguri and Kano respectively.


Movement towards healthy eating

Nigerian consumers are also becoming more concerned with healthy eating. “A survey of 700 consumers conducted by newspaper Business Day Nigeria during October 2012 found that while price was still crucial to the Nigerian consumer, health considerations were becoming more important,” says Euromonitor. “Fifty per cent of respondents said that they read the labels of packaged food and beverage products before purchasing them. Thirty-nine per cent said that they would like to see more nutritional information, including calorie counts, on restaurant menus.”


Developing a taste for wine

Another trend is that Nigerians are increasingly moving towards wine consumption. Last year How we made it in Africa reported that Wines of South Africa (WOSA), an industry body representing South African wine exporters, has identified Nigeria as a major export market.
“Wine consumption in Nigeria rose from 18.8 million litres in 2006 to 44.3 million litres during 2011,” states Euromonitor’s data. “Moreover, it is expected to rise by a further 80.4%, to 79.9 million litres, by 2016.”

Last year, 60% of wine sold in Nigeria was imported from Europe. South Africa is, however, the second biggest exporter with 22% by volume share. South African wine exports to Nigeria also grew at 12% between 2011 and 2012.


Fashion conscious

Nigeria also has a budding local fashion industry and the Lagos Fashion & Design Week in October last year attracted European companies, such as UK-based Selfridges & Co. and German online retailer MyTheresa.com to Nigeria for the first time. “However, rather than attracting European consumers, these retailers are primarily interested in selling designer clothing to affluent Nigerians on shopping trips abroad,” according to Euromonitor. Bruno Barba, PR manager at Selfridges, said, “Nigerians are among our highest-spending foreign customers.”


Fast cars

Porsche’s entry into Nigeria in March last year, with the opening of its first dealership in Victoria Island, one of Lagos’ wealthiest areas, is an example of how luxury cars are appealing to the country’s richest of the rich. Furthermore, the German carmaker also plans to set up an operation in Abuja.

With an estimated 200 Nigerians owning Porsches when the firm opened its Lagos dealership, Porsche Nigeria aimed to sell 100 vehicles in the country during 2012, rising to 300 sales per year from 2013.
According to Euromonitor’s data, “0.4% of Nigerian households had an annual disposable income of more than US$100,000 (at purchasing power parity) during 2011”.

Nigeria already has dealerships specialising in Aston Martin and Lamborghini.

[size=15pt]Nigeria: ICT - Nigeria Remains Top Investment Destination, Says Study[/size]

BY PRINCE OSUAGWU, 13 FEBRUARY 2013

Nigeria may soon attract more foreign direct investment, FDI, particularly in the ICT sector, as Pyramid Research has just released the report of its 2013 top trends in global communications with a declaration that Nigeria still remained top spot for telecom investments in Middle East and Africa.

For 12 years, following the 2001 liberalisation of the telecoms sector, coupled with favourable regulatory regime in Nigeria, the industry continues to witness significant growth in both investments and mobile subscriptions.

While local and foreign direct investment in the sector stood at $25bn in mid-2012, mobile subscriptions has surpassed over 150 million out of which 113.1 million are active at the end of December, 2012.

In the same vein, teledensity has grown to 80.21, giving the regulator, the Nigerian Communications Commission, NCC the leverage to drive more investment in the country with various policies and frameworks on broadband infrastructure deployment, review of interconnect rates among the operators.

http://allafrica.com/stories/201302130799.html

[size=15pt]More Japanese Investors Are Coming, Says Ambassador Shoji[/size]
BY BEN ATONKO, 17 FEBRUARY 2013


In the middle of this year, President Goodluck Jonathan will lead a delegation to Yokohama, Japan to attend the 5th Tokyo International Conference on Africa Development tagged TICAD V Yokohama. Since 1993, government officials have been attending this conference. What tangible benefits has Nigeria got so far? Japanese Ambassador Ryuichi Shoji speaks on this and other issues:

In the last 20 years, promoters of TICAD say there has been remarkable transformation of African countries taking symbolic example of Nigeria. As Nigeria came to regain its democracy in 1999, its GDP is said to have grown five times. From 2006, the inflow of Foreign Direct Investment (FDI) exceeds the inflow of Official Development Assistance (ODA). So FDI is one of the very important elements of growth of sub-Saharan Africa and Nigeria is the biggest receiver of FDIs.

"This is a very remarkable achievement which makes Africa a continent of "hope and opportunities. It also makes Nigeria the rallying force for sub-Saharan Africa development," Ryuichi Shoji, Extraordinary and Plenipotentiary, Ambassador of Japan to Nigeria said Thursday in Abuja in an exclusive chat with Sunday Trust. "We believe that TICAD process is part of this remarkable transformation of Africa," the ambassador reiterated.

In the last 20 years, the envoy said the directions given and the commitments made during TICAD, guide his embassy in the implementation of the programmes of economic cooperation in Nigeria. "TICAD gave us stimulus. For example, during TICAD IV held in 2008, Japanese government committed itself to double grant aid and technical assistance to African countries and this was achieved at continental level.

"Recently, we put together the figures for Nigeria and actually in the five years of TICAD IV, our grant aid and technical assistance was higher than those of the previous five years'".

He revealed that granting of soft loans which was stopped after the debt relief agreement by Paris Club in 2005 has been brought back. He said after consultations, granting of the loans was resumed because they enable Nigerian government to finance infrastructure programmes or some social development related programmes of relatively big size.

By this action, it is said that Japanese private companies are encouraged to come and invest in Nigeria. "This means that the Japanese government is fully engaged in Nigerian development. It also means the Japanese government has trust in the sound macro-economic management and it encourages Japanese private companies to come to Nigeria," Shoji expressed.

http://allafrica.com/stories/201302170102.html





[size=15pt]GE to invest US$1 billion in Nigeria[/size]


14 February 2013 - General Electric says it plans to invest US$1 billion in Nigeria, something which will help triple the country's power capacity over the next decade. Of this US$250 million will be invested immediately, with the rest of the money spent on local sourcing of goods and services.

GE Chairman Jeff Immelt says that the projects will create more than 2,000 jobs in Nigeria, nearly all of them going to Nigerians. The investment includes further funding for the service workshops in Port Harcourt and Onne in Rivers State. The investment will also support the company’s power generation, oil and gas production and exploration activities.

The company has an agreement with Geometric Power for the construction of a 450 MW power plant in Aba, the commercial city of Abia State for US$500 million. In addition, a 140 MW plant, which is being built in Aba is scheduled for completion in March.

http://www.esi-africa.com/node/16002

[size=17pt]Investors bet on Nigeria with N800bn sealed deals in Jan 2013[/size]

MONDAY, 04 FEBRUARY 2013 00:00 CHARLES IKE-OKOH, PETER OLOWA, TELIAT SULE & IHEANYI NWACHUKWU

Foreign investments in Nigeria, Africa’s second largest economy, reached a record N800 billion ($5.2 billion) in January 2013 as prominent corporations from the United States of America, Canada, The Netherlands and Turkey increased their investment stakes in the country, in a pace never seen before.

The scale of the net inflows, about 207 percent growth above what flowed in the same period last year, highlights the revival in investor confidence in Nigeria’s economic reforms.

The Central Bank of Nigeria’s (CBN) figures for Q3, 2012, showed a total of $1.4 billion was injected into the economy through Foreign Direct Investments (FDI) while $4.6 billion came in through portfolio investments, with another $4.7 billion invested in the capital market, a far cry from what flowed in this year.

The current inflows and investment commitments with different gestation periods, focus on infrastructure development, construction of power plants for the enhancement of electricity generation, mining, healthcare, agriculture and agro-allied sectors of the Nigerian economy, areas where there have been concerted efforts to turn things around.

The investments into these sectors in the month, reflected positively also in the capital market, as investors (local and foreign) saw need to key into the opportunities in the Nigerian equities, which achieved a four-year high last weekend.

The response is underscored by the International Finance Corporation (IFC) $50 million Naira-denominated bond issued in the period.

Having been endorsed by the Investment Supervision Department of the National Pension Commission (PENCOM), the IFC’s investment in the country has surged to $1.1 billion, which is the largest portfolio in Africa and eighth-largest globally.

“The rally underscores the rising confidence in the country as a project and buy-in by investors who easily smell good deals,” analysts told BusinessDay weekend.

BusinessDay Research and Intelligence Unit (BRIU) analysed the future effect on the value chain.

“New companies will emerge to service the investments and existing companies will upgrade skills. Hubs are forming as the investments are spread across the country. There will be new jobs and job requirements and there will be spill-over to local suppliers as well.”

General Electric, the leading global player in turbine technology, signed a memorandum of understanding with the Federal Government of Nigeria to invest about $1 billion (N157bn) in the next five years in manufacturing, assembly and training, in a firm located in Calabar, Cross River State. Initial investment will be $250 million and it is expected to rise to $1 billion over the duration of the agreement.

Other deals sealed by GE last month include the $500 million 450 megawatts Geometric Power Plant in Abia State, as well as with Transcorp plc, in order to increase power generation to 650 megawatts at Ughelli Power Plant in Delta State. Tony Elumelu, chairman of Trancorp Plc and Jeff Immelt, global chairman and CEO, GE graced the occasion when the deal was signed.

In another development, the African Finance Corporation (AFC) and FMO of The Netherlands (Entrepreneurial Development Bank) reached an accord to promote project development facility in the country. “The Facility will make early stage investments in projects under development, pre-financial close, in the infrastructure sector across sub-Saharan Africa.

The $15 million facility will fund early-stage equity investments in projects under development by AFC, and third party developers, including those referred to the Facility by FMO. The Facility will be managed by AFC and will typically fund technical advisory services and third party expenses”, information obtained from the official website of FMO revealed.

The month of January 2013 also witnessed the injection of $800 million (N126 bn) by the African Development Bank (AfDB) into the Nigerian economy. The breakdown shows that Eleme Fertilizer and Chemical Company got $100 million while the Bank of Industry (BoI) and Nigerian Export-Import Bank (NEXIM) received $700 million. The former loan is meant to boost fertilizer production, just as the latter will enhance the capacity of BoI and NEXIM to promote non-oil export.

Many other firms and financial institutions yet to berth, are fast queuing. One such, is the Nigeria-Canadian Bi-National Commission (NCBNC) which announced that Canadian firms are interested in the country’s mining activities, rail, road, aviation, as well as in agriculture, even as they recognised the need to encourage investment in Information and Communications. Consequently, they have promised to increase their trade with Nigeria up to $6 billion by 2015.

Samsung is looking to build a manufacturing plant in the country.

Back home, the FG has set aside $400 million for the trans-Saharan gas pipeline. With specific focus on the Calabar-Ajaokota-Kano pipeline, the speedy completion of this pipeline will enhance the operation of the Trans-Saharan Gas Pipeline Project. Also, Stanbic IBTC and Keystone Bank will provide N5.6 billion for the Agbekoya (Farmers Association) in order to boost food production and processing.

In addition, Standard Chartered Private Equity and Ashmore acquired a stake in GZI which is an aluminum manufacturing plant based in Ogun State.

Similarly, Florence Nightingale Group, one of Turkey’s best healthcare providers, will invest about $100 million in healthcare service delivery before the end of Q1, 2013.


http://www.businessdayonline.com/NG/index.php/news/76-hot-topic/51056-investors-bet-on-nigeria-with-n800bn-sealed-deals-in-jan

[size=15pt]Private airliner to invest $150m in Nigeria’s aviation sector[/size]

Wednesday, 30 January 2013 00:00



A major boost to Nigeria’s aviation sector is underway as a private airliner, Vistajet, has indicated interest to invest about $150 million into the sector.

Chairman of the firm, Mr Thomas Flohr, speaking with newsmen in Abuja on Tuesday, said the investment would involve the use of newly manufactured airlines, which would travel directly from the country to any destination in the world.

Flohr expressed the hope that the private charter airline operation would boost the nation’s aviation sector and grow the economy.

He said: “No Vistajet aircraft will fly without a manufacturer’s warranty and that is the financial commitment which is very significant to global challenge out there, and approximately 150 million dollars investment we dedicate to this country.

“The world, today, wants to connect point to point and certainly, Nigeria is the strongest market, especially in Africa. Vistajet has been here for more than three years and we see this as next expansion step to bring 60 million dollar global express to the country and fly the executive and captains of industries on the best aircraft, which exist today, to anywhere in the world non-stop.”

The airline had made order for 56 new Bombardier global jets, with 86 further options valued at $7.8 billion.

“We had more than 900 take-offs out of Nigeria in 2012 alone, with three flights on average per day,” he added.

Asked if there were plans to set up aircraft maintenance facility in the country, flohr said the firm was in collaboration with local partners, especially in Lagos and Abuja, whose infrastructure would be used for aircraft servicing.

He added that while other operators make use of a 30-year old aircraft with mediocre safety records, the country would be of immense benefit with its new aircraft.

http://tribune.com.ng/news2013/index.php/en/component/k2/item/4167-private-airliner-to-invest-$150m-in-nigeria%E2%80%99s-aviation-sector

[size=15pt]Indorama to Build Africa's Largest Fertiliser Plant in Eleme. Cost: $1.2 Billion[/size]

Eleme, Port Harcourt — The management of Indorama Eleme Petrochemicals Limited said on Friday that it had concluded plans for the construction of Africa's largest fertiliser plant in Eleme, Rivers State.

The Managing Director of the company, Mr Manish Mundra, made this known when the National Good Governance Team visited the company in continuation of the tour of projects in the state.

He added that the plant, designed to produce 1.4 million tonnes of fertiliser annually, would start production by the fourth quarter of 2015.

He said that the plant, when concluded, would engage largely in the production of Urea, NPK and other types of fertiliser.

Mundra said that the project, which would cost the company about 1.2 billion dollars was part of the company's programme of making Nigeria the largest petrochemical hub in Africa by 2017.

He said that the fertiliser plant project would be handled by a Chinese company, Toyo Engineering Ltd and would get its feed stock from natural gas.




[size=15pt]Nestle Boosts Nigeria Operation With $34m Facility[/size]

Posted on February 19, 2013 04:34 pm under Business, Logistics & Transportation, Strategies & Solutions

VENTURES AFRICA – Nestle Plc on Monday launched a 5.4 billion naira ($34 million) distribution centre in Ogun State, a western region of Nigeria, to grow the unit’s operations on the continent.

According to Business Day, the facility has a 17,000-pallet capacity and spreads across four hectares.

Corporate relations manager for Nestle Samuel Adenekan, said the warehouse was constructed to accommodate the company’s increased output following infrastructural upgrades within the last 5 years at the Agbara Ogun state factory.

He added that the new facility will strengthen Nigeria’s role as the largest manufacturing operation for Nestle in the West and Central Africa region.

The Managing director of Nestle Nigeria, Martin Woolnough said, “The new state-of-the-art distribution centre reflects more than just an important investment to broaden our nutrition, health and wellness platform; it illustrates also our commitment to the growth of the Nigerian economy.”

The Agbara manufacturing complex is one of Nestlé’s biggest factories in Africa.

“The factory has witnessed unprecedented infrastructural upgrades since 2010 which include the following: 4.56 billion naira Milo Raw Material facility; 4.13 billion naira Cereals Processing Line expansion; 3.60 billion naira Tri-generation Power Plant; 1.80 billion naira Cereals Milling Plant; and 1.48 billion naira Milo 4th Vacuum Band Dryer,” Business Day reported.

http://www.ventures-africa.com/2013/02/nestle-boosts-nigeria-operation-with-34m-facility/

[size=15pt]Rand Merchant Bank Nigeria opens its doors in Lagos[/size]


Rand Merchant Bank (RMB) has officially opened RMB Nigeria in Lagos, Nigeria following the granting of an investment banking licence by the Central Bank of Nigeria.

RMB, which is the investment banking division of FirstRand, has been operating in Nigeria from a representative office since January 2010.

Chief executive Alan Pullinger says that RMB Nigeria allows RMB to rapidly build its franchise, provide products and services to corporate and institutional clients, as well as employ talented bankers in the country. “...RMB Nigeria enables us to significantly scale up our in-country offerings and play a more prominent role in the growth of the Nigerian economy.”

RMB Nigeria offers the full spectrum of investment banking services to all industries, including corporate advisory, equity capital markets, infrastructure and project finance, resource finance, structured trade and commodity finance, and fixed income, currency and commodity services. Services are offered to large local, regional and international corporates already operating in, or entering Nigeria and the broader West African economies.

RMB has already concluded several deals in Nigeria, including ExxonMobile Nigeria (US$50m), Conoil (US$40m) and Africa Finance Corporation (US$50m). It also acted as co-financial adviser for the US$350m Lekki Epe Expressway in Lago (awarded the Euromoney Project Finance Deal of the Year in 2008).

FirstRand chief executive Sizwe Nxasana says the establishment of RMB Nigeria, which required an initial capital investment by the Group of $100 million, is in line with FirstRand’s strategy to build a presence in high-growth African markets with attractive long- term prospects. “This move is completely consistent with our objectives as we often enter a new market through the appropriate operating franchise, in this case RMB. Nigeria currently offers strong growth prospects particularly with regards to corporate and investment banking”.

[size=15pt]Africa Rising: A LeapFrog Partnership to Boost Nigeria's Financial Services Industry[/size]

LONDON, Jan. 22, 2013 /PRNewswire/ -- Leading emerging markets fund LeapFrog Investments today announced a strategic partnership with Nigeria's largest non-bank financial company, Asset and Resource Management Company Limited (ARM). Further to ARM's recent acquisition of a majority stake in CrystaLife Assurance Plc, the partnership's ambitious aim is to make CrystaLife, currently the sixth largest life insurer in Nigeria, the industry leader in Africa's most populous nation.

"Africa's time has come," said LeapFrog founder Dr. Andrew Kuper . "It is the place for investors to find top-tier returns, and make an enormous difference too. The accelerated growth and increased stability over the past ten years is nothing short of phenomenal. The world is just beginning to understand that Africa is home to hundreds of millions of consumers, workers and entrepreneurs. They are actively acquiring products and services, lifting families and nations out of poverty."

LeapFrog's support, drawing on its extensive team of insurance experts and actuaries, is expected to help CrystaLife to cover millions of Nigerians, tapping the vast opportunity of Africa's emerging consumers. CrystaLife intends to expand its successful group life insurance offering and to develop a new retail offering.

The IMF estimates that real GDP growth in sub-Saharan Africa has averaged 5.4% annually over the past five years. Foreign direct investment in the continent has grown by over 20% each year, pushing Africa's share of the world's investment to almost a quarter. Even in this context, Nigeria has been an outperformer at an average 7% growth for the past decade. With 162 million inhabitants, it is also Africa's most populous nation.
McKinsey reports that around 90 million African households had joined the world's consuming classes by 2011, meaning that almost 500 million Africans now have the means to pay for critical financial tools.

However, nearly 110 million people in Nigeria alone still lack access to financial services, presenting a significant challenge and opportunity. Over 60% of the current retail market in Nigeria is under-served by vital financial services.
[size=15pt]"Nigeria is one of the continent's jewels. We are pleased to have the opportunity to partner with ARM, a reputed and fast-growing leader in financial services in the country"[/size] said LeapFrog partner Dominic Liber, who leads the fund's work in Nigeria. In Africa, the fund has previously made investments in insurance providers across Ghana, South Africa, Kenya, Uganda and Tanzania.
Mrs Oluseyi Ifaturoti , CrystaLife Managing Director and CEO concluded: "The market opportunity for insurance in Nigeria has grown rapidly, requiring businesses to rethink product design, pricing, and distribution strategies to effectively reach the increasing pool of potential customers. LeapFrog's extensive experience building insurers in emerging markets will help CrystaLife seize the moment, stimulating significant growth in both value and reach."

PR Newswire (http://s.tt/1yNIf)

http://www.prnewswire.com/news-releases/africa-rising-a-leapfrog-partnership-to-boost-nigerias-financial-services-industry-187926431.html

[size=15pt]General Electric to establish locomotive factory in Lagos[/size]


Written by Rasheed Bisiriyu


Nigeria is set to become a hub of railway services in the West African region as a United States company, General Electric, has indicated an interest in setting up a locomotive manufacturing firm in Lagos.

Already, a team from GE has visited the Nigerian Railway Corporation to assess the current state of facilities at its loco workshop at Ebute-Meta.

The Director, Mechanical, Electrical, Signal and Telecommunication Department, NRC, Mr. Freeborn Okhiria, confirmed in an interview with our correspondent on Wednesday that the team came two weeks ago.

GE recently supplied 25 locomotive engines to the corporation as part of efforts by the Federal Government to resuscitate the ailing railway transport system..

Meanwhile, Okhiria, who just bagged a fellow of the Nigerian Institution of Structural Engineers, has said that NRC is capable of assembling railway engines if given the necessary encouragement.

Although he said the corporation might not achieve the required perfection at the beginning, he insisted that there were competent engineers and technicians at the NRC that could handle the task.

He said many other countries where railway technology had advanced started that way, adding that the NRC team should be allowed to make faulty starts until it got it right.

http://odili.net/news/source/2011/nov/11/824.html

[size=15pt]Nigeria Stock Market Up By 34% In 2012, More Gains Expected- REUTERS[/size]


Nigerian stocks rose to a 32-month high on Monday, ending the year up 34 percent in the index’s best performance since 2007, led by growth in the consumer goods and banking sectors which is expected to continue into the new year.

Africa’s second biggest economy and top oil producer is growing in popularity as an investment destination, offering the promise of high economic growth and a consumer market of 160 million people. Its sovereign debt has soared since JP Morgan added it to its emerging market bond index this year.

“With continued interest in financials and consumer goods, we expect the market to extend gains into the New Year,” analysts at Vetiva Capital said in a note to Reuters, adding that banks would lead the charge in 2013, reports Reuters.

Nigeria’s naira currency closed flat at 156.20 to the U.S. dollar, but gained 1.8 percent over the year, supported by forex inflows from foreign investment into the local debt market and the Central Bank’s tight monetary policy.

Stocks rose 0.76 percent on Monday, to cross a 28,000 point psychological level and closed the year at 28,079 points, a level last seen in April 2010, to become the second best performing index in sub-Saharan Africa, after Uganda.

This year’s performance was supported by a stable naira, a flurry of strong earnings results and a new market-making system, attracting foreign investors and local fund managers back to equities, analysts and stockbrokers say.

The index of Nigeria’s top-10 consumer goods stocks ended up 41.3 percent, to become the best performing sector, while banking stocks finished up 21 percent.

Nigerian stocks recovered after falling 16 percent last year but the market is still less than half the value it was, prior to the 2008 collapse, which wiped off 60 percent of stock values and coincided with a banking crisis.

The index rose 70 percent in 2007.
Nigeria trade closed after a half day ahead of the New Year’s holiday.
http://www.businessdayonline.com/NG/...ns-to-continue

Great posts... Very enlightening to discerning minds

Nigeria is truly the Giant of Africa.

GOD bless Nigeria.

hmmmmm, Thats why I can not go and sit down under one employer for office job. I rather own my companies.

Nigeria has good population and there is money to be spent on your business if you have one.

.Nairaland:
Nigeria is truly the Giant of Africa.

GOD bless Nigeria.

I concur...

I have this feeling that Nigeria will be better than she is very soon, if only the standard of living is improved, the kidnappings down-south and the terrorism in the north will be minimal and these monsters will eventually become myths if the security system is improved upon. Then and only then, will our huge population be 100% as an asset. "GOD bless NIGERIA"

Nigeria's future will be assured when we sort out the rot in our politics. We still have foundational problems that have not been tackled. Where is the common, binding ideology to keep us together? What will be the unifying bond that will ensure that Nigeria doesn't implode?

We've always had the potential to be great, but we're not a nation YET. When we sort out our nationhood, and all (or most) Nigerians have a sense of fairness and equity, then the increased investment flows coming into the country will be spread across the country and ordinary Nigerians will feel the impact.

Failure to do this will mean that even for all of the progress that will be made, a lot of Nigerians will be left behind.

emmysenior: I have this feeling that Nigeria will be better than she is very soon, if only the standard of living is improved, the kidnappings down-south and the terrorism in the north will be minimal and these monsters will eventually become myths if the security system is improved upon. Then and only then, will our huge population be 100% as an asset. "GOD bless NIGERIA"

Correct.
One vital thing still holding Nigeria down is the political instability and shortage of power(electricity). If these key aspects should be as they should have been, I tell you Nigeria will be an untouchable force in Africa and major player in the world economy.
What has South Africa gotten that Nigeria doesn't have in multiple fold: human resources, mineral & natural resources? Name it.
But poor management and bad leadership has made Nigeria lost her God given position

Upon these challenges, it is believed that Nigerias economy will overtake that of SA to top Africas economy in 5 to 8 years time even with the present poor stage.

Wonder what it will be if the management team is efficient and right person is in charge to govern the country.

God bless Nigeria.

Wonderful news, very inspiring. I wonder why the media is always fixated on the negatives.

.

.Nairaland:


Correct.
One vital thing still holding Nigeria down is the political instability and shortage of power(electricity). If these key aspects should be as they should have been, I tell you Nigeria will be an untouchable force in Africa and major player in the world economy.
What has South Africa gotten that Nigeria doesn't have in multiple fold: human resources, mineral & natural resources? Name it.
But poor management and bad leadership has made Nigeria lost her God given position

Upon these challenges, it is believed that Nigerias economy will overtake that of SA to top Africas economy in 5 to 8 years time even with the present poor stage.

Wonder what it will be if the management team is efficient and right person is in charge to govern the country.

God bless Nigeria.

Other than a stronger industrial base and better infustructet nigeria has more than SA. The problem is how it is been used. With out change in the higher ups nigeria will no succsed.

Has for taking over SA has a stronger econmy. In some areas yes. But your size is your biggest strengh and wekness in this matter. With a larg population it means more tax but there more that needs to be looked after with that tax. This is why sweden with it smaller economy is better of than the USA. Each persone gets a big piece of the cake.

Currently about 70% of Nigerias labour force work in agriculter most of whom are subsistent or small scall farmers. So there tax is much lower. Compare to SA where only 9% of the labour force is in farming. Nigeria needs to industrilse it's farms.

Nigeria has 4 oil refinries and all are down. SA has no oil yet refines more than nigeria. Actualy SA has some of the largest refinries in africa and is planing on building the largset.

Nigeria has a lot of securty issues that scare of forghine investors. While SA has riots and strikes these don't endanger the company. Where nigeria has Islamic terrorists in the north, kindnaping in the south. And a real big danger. Pirats. Soon the threat of biening attacked will be great in the west coast than the horn.

Corruption is bad for the country. Even if you get the wealth if it gets stolen by corrupt officials what is the point. A bunch of rich guys on top to rull over the poor.

Any case a strong nigeria is good for SA. Means one more market for our goods.

These are all products of the transformation drive of the president, but haters will not oblige. The more painful of it is the fact tat some of these folks are enlightened enough to discern the truth but for the sake of pursuing a tribal agenda as well a being on a paid mission.

andrewza:

Other than a stronger industrial base and better infustructet nigeria has more than SA. The problem is how it is been used. With out change in the higher ups nigeria will no succsed.

Industrialization, better infrastructures,... All these are results of good and thinking government which is where Nigeria is lacking.

andrewza:
Currently about 70% of Nigerias labour force work in agriculter most of whom are subsistent or small scall farmers. So there tax is much lower. Compare to SA where only 9% of the labour force is in farming. Nigeria needs to industrilse it's farms.

When over 50% of Nigerians abode in Urban centers with drastic increment in Rural to Urban migration, your figures still tells you that "70% of Nigerias labor force work in agricultural sector"?!
Get your statistics straight.

andrewza: Any case a strong nigeria is good for SA. Means one more market for our goods.

This part cracked me up,
More market for SA if a strong Nigeria emerges?!

Here is the weak Nigeria
*gives MTN warrant over the detriment of capable indigenous telecommunication network of Glo.
*brings down hi tv to strengthen DSTV even when DSTV market relies exclusively on Nollywood which they pay little or nothing to.
*handling things that affect her citizens internationally in a careless manner.
*extremely poor maintenance culture.
*tribalism at it peak
*clueless government
*and countless

The reverse is the case if a strong Nigeria should emerge. You and I know it's not what you pray for my brother.

Have a lovely day, I will be back later in day. Need to go.

Some of u sound so stupi.d when u talk about "clueless govt" on a thread like this. Clueless yet investors are pouring into the country at unprecedented rates. Perhaps it's u that's clueless.

dotNaira:

Industrialization, better infrastructures,... All these are results of good and thinking government which is where Nigeria is lacking.


When over 50% of Nigerians abode in Urban centers with drastic increment in Rural to Urban migration, your figures still tells you that "70% of Nigerias labor force work in agricultural sector"?!
Get your statistics straight.


This part cracked me up,
More market for SA if a strong Nigeria emerges?!

Here is the weak Nigeria
*gives MTN warrant over the detriment of capable indigenous telecommunication network of Glo.
*brings down hi tv to strengthen DSTV even when DSTV market relies exclusively on Nollywood which they pay little or nothing to.
*handling things that affect her citizens internationally in a careless manner.
*extremely poor maintenance culture.
*tribalism at it peak
*clueless government
*and countless

The reverse is the case if a strong Nigeria should emerge. You and I know it's not what you pray for my brother.

Have a lovely day, I will be back later in day. Need to go.

I got 70% from a number of sources. Has far has I know it is 70% of the working population. And with 160 million people that mean 70million in urban areas. Are we talkint cities or littel towns here.

Those are the 2 most public of South africas companys in SA but not the only. There are a larger number of them doing buisness there either dirctly or thruw backing local companys. Then there are internastionl companys that operate in SA that contribute to SA economy. Exampil mercieds, ford, extra. A strong nigeria is not a threat to SA we more worried about the nigerians in SA than the Nigerians in Nigeria.

andrewza:

I got 70% from a number of sources. Has far has I know it is 70% of the working population. And with 160 million people that mean 70million in urban areas. Are we talkint cities or littel towns here.

Those are the 2 most public of South africas companys in SA but not the only. There are a larger number of them doing buisness there either dirctly or thruw backing local companys. Then there are internastionl companys that operate in SA that contribute to SA economy. Exampil mercieds, ford, extra. A strong nigeria is not a threat to SA we more worried about the nigerians in SA than the Nigerians in Nigeria.

why would you be worried about the nigerians in SA?

andrewza:

I got 70% from a number of sources. Has far has I know it is 70% of the working population. And with 160 million people that mean 70million in urban areas. Are we talkint cities or littel towns here.

Those are the 2 most public of South africas companys in SA but not the only. There are a larger number of them doing buisness there either dirctly or thruw backing local companys. Then there are internastionl companys that operate in SA that contribute to SA economy. Exampil mercieds, ford, extra. A strong nigeria is not a threat to SA we more worried about the nigerians in SA than the Nigerians in Nigeria.

SA has never been an obstacle to Nigeria,infact no african country is.
Most SA companies are service coys,and is definitely not what Nigeria needs now.
Nigeria needs a strong manufacturing base to satisfy the african market,as currently no african country manufacture enough goods for export.
The few companies in africa are only service providers.
Manufacturing is what will propel Nigeria and make it africa's china.
No country in africa has that much potential not even SA.

sheyie2007:
why would you be worried about the nigerians in SA?

People blame them for crime.

solomon111: SA has never been an obstacle to Nigeria,infact no african country is.
Most SA companies are service coys,and is definitely not what Nigeria needs now.
Nigeria needs a strong manufacturing base to satisfy the african market,as currently no african country manufacture enough goods for export.
The few companies in africa are only service providers.
Manufacturing is what will propel Nigeria and make it africa's china.
No country in africa has that much potential not even SA.

What you talking about. No African county comes close to SA in Manufacturing we make for exampil cars in Africa to sell to other countries.

Rossikk: Some of u sound so stupi.d when u talk about "clueless govt" on a thread like this. Clueless yet investors are pouring into the country at unprecedented rates. Perhaps it's u that's clueless.

exactly what came to my mind.

BTW @Andrewza why did you feel drawn to this topic to the point of commenting on it? Everybody pls take it easy with him. He is a bit more friendly than his compatroits.

gst101: exactly what came to my mind.

BTW @Andrewza why did you feel drawn to this topic to the point of commenting on it? Everybody pls take it easy with him. He is a bit more friendly than his compatroits.

It had a lot of good infomation in it. Nigeria is the fastest growing economy in africa no one is going to say other wise(if it can maintian that growth is a diffrent story). I am just pointing out that that growth means nothing if not used properly. Nigeria should be a masive global power it has every thing needed to rival a european country but it not even close.

andrewza:

People blame them for crime.

SA peeps you mean...