COMPANIES LEAVING NIGERIA WON'T LAST- SA BILLIONAIRE - Global Report

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Saturday, March 2, 2024

COMPANIES LEAVING NIGERIA WON'T LAST- SA BILLIONAIRE


 

 

 

 

 

South African billionaire Christo Wiese says that Nigeria’s large and growing population is impossible for businesses to ignore and a recent massive exodus of companies from the West African country won’t last. He made this known in an interview on Bloomberg TV.

South African billionaire says companies exodus from Nigeria won't last
  • South African billionaire Christo Wiese has said that Nigeria’s large and growing population is impossible for businesses to ignore.
  • Nigeria's economy has been more fragile in recent years.
  • Recent massive exodus of companies from the West African country won’t last.
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Nigeria, with over 200 million people, is the economic giant of Africa. The sizable consumer base presents an attractive investment hub for businesses and investors seeking opportunities in the region.

“How do you ignore an economy like this?” said the former chairman of Shoprite Holdings Ltd., the continent’s largest grocer which left Nigeria in 2021. “Sooner or later the big players will enter again.”

However, despite the country's status, its economy has been more fragile in recent years. Economic makeovers, such as the removal of fuel subsidy and the devaluation of the naira aimed at revitalizing the economy, have yet to yield positive results.

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Instead, the series of reforms have pushed up the cost of living and doing business, leading to the departure of various companies like Procter & Gamble (P&G), GlaxoSmithKline, and Equinor amongst others.

“Most foreign investors, including South African investors, I think have adopted an attitude when it comes to Nigeria that it’s too early,” Wiese said. “We’ve got to wait for things to settle, for the economy to develop more and then for governments that adopt the correct policies.”

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