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Nigeria denies relocation of companies to Ghana

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Nigeria has denied that companies in West Africa’s most populous country are closing down and relocating to Ghana due to poor infrastructure much of which has to do with inadequate power supply.
The Minister of State for Commerce and Industry, Mr. Humphrey Abah has told the media in Abuja that there were no statistics to prove the claim.
“It is not correct that our companies are relocating elsewhere. I challenge anybody to give me statistics of those purported to have relocated out of Nigeria. It is on record that some of our blue-chip companies here provide the largest income for their home companies.
“We have challenges but the companies that are truly here to do business have remained on ground doing business. We have quite a lot of tax incentives to assist them in order not for the tax to be a lot of burden to them,” he said.
Mr. Abah accused those who are afraid of international competition for being responsible for the speculation.
A Nigerian publication LeadershipNigeria published a report in June which said manufacturing companies in Nigeria are folding up and moving into Ghana because of acute power shortage. The report did not however, name specific companies that have moved.
It also indicated that the Lagos State House Assembly had raised the alarm over the movement of manufacturing industries to Ghana.
The issue it said was brought to the attention of the House under matters of urgent public importance by Hon. Sanai Agunbiade, Chairman, Committee on Commerce and Industry.
He said that manufacturing companies in Nigeria are already folding up to relocate to Ghana and take advantage of the country’s liberal investment incentives. And they are leaving Nigeria because of the country’s acute power shortage.
He stated that the implication for the state was high unemployment rate and increase in criminal activities.

Nigeria has denied that companies in West Africa’s most populous country are closing down and relocating to Ghana due to poor infrastructure much of which has to do with inadequate power supply.

The Minister of State for Commerce and Industry, Mr. Humphrey Abah has told the media in Abuja that there were no statistics to prove the claim.

“It is not correct that our companies are relocating elsewhere. I challenge anybody to give me statistics of those purported to have relocated out of Nigeria. It is on record that some of our blue-chip companies here provide the largest income for their home companies.

“We have challenges but the companies that are truly here to do business have remained on ground doing business. We have quite a lot of tax incentives to assist them in order not for the tax to be a lot of burden to them,” he said.

Mr. Abah accused those who are afraid of international competition for being responsible for the speculation.

A Nigerian publication LeadershipNigeria published a report in June which said manufacturing companies in Nigeria are folding up and moving into Ghana because of acute power shortage. The report did not however, name specific companies that have moved.

It also indicated that the Lagos State House Assembly had raised the alarm over the movement of manufacturing industries to Ghana.

The issue it said was brought to the attention of the House under matters of urgent public importance by Hon. Sanai Agunbiade, Chairman, Committee on Commerce and Industry.

He said that manufacturing companies in Nigeria are already folding up to relocate to Ghana and take advantage of the country’s liberal investment incentives. And they are leaving Nigeria because of the country’s acute power shortage.

He stated that the implication for the state was high unemployment rate and increase in criminal activities.

 

 

credit:ghanabusinessnews.com

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