Nigerias Business Environment Essay Example | Topics and Well Written Essays - 1250 words

Nigerias Business Environment - Essay Example Misrule compounded by corruption and uncertainty are wrecking chances for development in Nigeria (Iba, Louis; 2009). The image of Nigeria is one of poverty and anarchy. This is largely due to unemployment and political uncertainty. Except for oil and gas the country is known for little else although natural resources are in abundance. Population below poverty line is shown as 70%. The country keeps showing results and returning to shambles in turns. Nigeria has not shown consistency in economical reforms although it has made attempts to project oil and other natural resources for potential foreign investments (Doing Business in Nigeria, 2007). There is inconsistency in the business environment. It has not shown any progress in clearing IMF debts. IMF had instructed stringent measures to revive economy that included reforms in the banking sector (Nigeria Economy 2010). Well-informed Nigerians rue the years of instability since the 1950s when oil was discovered in Nigeria. However, people are poor and spend more time on earning for their daily necessities. Revenues from oil are spent on balancing for various loans taken for infrastructure. Talking of infrastructure, the country's aspirations for establishing railway network has not resulted in any concrete action. This has given rise to facilitating transportation by roads. However, majority of the roadways are in poor shape resulting in traffic snarls. The civilian government of the day is doing all it can to project the country as a safe and conducive destination for business. However, their clarion call is not yielding the desired effects. Western powers are cool to investing in a nation where political status is still seen as unstable (Nigeria Economy 2010). Western economies have shied away from directly doing business in Nigeria leaving it to Asians. Asians have been more forthcoming from the 1970s and enjoyed the fruits of doing business in Nigeria. Japan has showed some interest in doing business in Nigeria (Bala, Dr Julius J; 2003). Today, Nigeria is a progressive economy. However, the country is experiencing setbacks so it is unable to meet projected economical targets. The country needs to act on its initiatives for economical turnaround with gender-based schemes to attract greater foreign investment and participation (Nwoye, May; 2007). In spite of the political and economic status, Nigeria has a vibrant and innovative population. It is this effervescent attitude that provides the best hope for appropriate business environment in a country torn by decades of mistrust among its two main communities Islamic and Christianity. Business Prospects in Nigeria When President Olusegun Obasanjo was sworn in on 29 May 1999 his reformative measures instilled confidence and attracted foreign investments. Obasanjo quietly