Foreigner Establishing Business in Nigeria

Abstract

Introduction

Bilateral relationships, among which is investment of foreign business in Nigeria are parts of the bedrock of Nigeria's foreign policy objective. A good machinery and favourable Government policy is therefore a must if meaningful foreign investments are to be attracted into the country.

Towards the realisation of the above objective, Nigeria had in 1995 reviewed its foreign investment policies. By the review, a lot of attractive opportunities and incentives have been created for foreigners wishing to establish business in Nigeria.

This article will examine some aspects of the old regulations in respect of foreign investments in Nigeria with particular reference to the Nigerian Enterprises Promotions Decree (NEPD) No. 54 of 1989, the Industrial Development Co-ordinating Committee (IDCC) Decree No. 36 of 1988 and some other governmental regulations that were connected with foreign investments in Nigeria. It will list procedures for establishing business in Nigeria and will highlight some major aspects of the Nigerian Investment Promotions Commission (NIPC) Decree No. 16 of 1995, the Foreign Exchange (Monitoring and Miscellaneous Provisions) EF (MMP) \Decree No. 17 of 1995 and will examine the consequences of the two (1995) Decrees. It will also highlight some incentives and benefits to be derived by the would-be foreign investor should he decide to utilise the opportunities offered by the Federal Government's liberalisation policy in respect of foreign investments.