Enelamah: In Pursuit of Friendly Investment Climate, Ease of Doing Business

Obinna Chima and James Emejo examine the efforts of the Minister of Industry, Trade and Investment, Dr. Okechukwu Enelamah, almost four years at the helm of the ministry

Since his appointment as Minister of Trade and Investment in November 2015, Dr. Okechukwu Enelamah, has been driven by the need to improve Nigeria’s business environment in order to enhance Ease of Doing Business and attract foreign investments.

The concerted efforts at improving the ease of doing business in almost four years resulted to improvement in Nigeria’s business regulatory environment as the country rose 24 places from 169 to 145 in the World Bank’s 2018 Ease of Doing Business Index.

Indeed, the mandate of the Ministry includes the creation of an enabling business environment for businesses to thrive; implement the Nigerian Industrial Revolution Plan (NIRP); attracting long-term local and foreign investment; encourage expansion of MSMEs and promote global and regional value chains that enhance trade.

That was why immediately after his appointment, the minister established the Enabling Business Environment Council (PEBEC), which is committed to enthroning a more conducive and attractive business environment in Nigeria. Efforts by PEBEC have since made it somewhat easier to register businesses at the Corporate Affairs Commission (CAC) and have led to the automation of the way businesses pay their taxes.

The Council recently launched the REPORTGOV.NG App, an official public service feedback and complaints platform to support business climate reforms implemented by the Council since 2016. The app is to facilitate the escalation and resolution of issues encountered with Ministries, Departments and Agencies (MDAs) towards ensuring a more business-friendly environment. PEBEC has also commenced the fourth 60-day National Action Plan (NAP 4.0) on Ease of Doing Business, aimed at addressing challenges encountered by SMEs and

direct benefits for Nigerian businesses.

In addition, the ministry in collaboration with the Central Bank of Nigeria and the International Finance Corporation, an arm of the World Bank Group, facilitated the passage of the Movable Assets Act, which is expected to make it easier for operators of micro, small and medium scale enterprises to obtain credit.

The Nigeria Investment Promotion Commission (NIPC), the Bank of Industry (BoI) and the Financial Reporting Council of Nigeria (FRC), which are some of the agencies under the ministry have been alive to their responsibilities. For instance, the FRC, under the supervision of Enelamah has introduced the National Code of Corporate Governance, which is expected to drive business accountability and prosperity in the country.

Nevertheless, analysts believe that the inability of the ministry under Enelamah to influence Nigeria’s signing of the African Continental Free Trade Area (AfCTA) agreement is one of the downsides of the ministry.

He ran into a pall of controversy over the establishment of a company, Special Economic Zone Company, with the Senate, which refused to approve a N42 billion provision in the 2019 budget that was meant for the establishment of the company. The Senate had declined approval on the ground that the company was a private entity.

Similarly, it was expected that Enelamah as the Minister of Investment would in the last four years have prevailed on the National Assembly to repeal the country’s obnoxious Land Use Act, which is not investor friendly. In fact, PwC, one of the leading professional services firms in Nigeria had pointed out that reforming Nigeria’s Land Use Act would liberate hundreds of billions of dollars of dead capital (potential but suppressed financial values in land and property-related transactions) that could lift off the Nigerian economy.

Finally, efforts were not seen in the area of revival of moribund industries as planned by the minister.