Nigeria lost its position as an African investment destination in 2021.
Nigeria’s name is notably missing from the top 10 investment destinations in Africa, according to new research, only a month after it kept its position as Africa’s third most attractive country for foreign investment.
The challenging operating climate was highlighted as one of the reasons why many investors are not coming to Nigeria in a report titled “Where to Invest in Africa 2021,” put together by a South African investment and consultancy firm, Rand Merchant Bank.
According to the survey, Egypt is the top investment location in Africa, followed by Morocco and South Africa. Rwanda, Botswana, Ghana, Mauritius, Côte d’Ivoire, Kenya, and Tanzania round out the top ten.
Daniel Kavishe, RMB’s Africa Economist, observed that this year’s study considered “the degree of the COVID-19 pandemic’s influence on the countries by sketching the continent’s landscape pre-pandemic and then creating a picture of both its actual and probable outcomes through and post-pandemic.”
“We established a new set of rankings that incorporated some of the unavoidable COVID-19-induced problems, of which the operating environment score was one,” Kavishe explained.
He also mentioned that a budgetary score was included in the approach, stating that “fiscal scores are crucial indicators of how governments respond to COVID-19.”
According to him, the paper also looked at significant topics arising from Africa’s developmental goals to rank the African Investment Destination Position in 2021.