Tobechukwu Okigbo, the Chief Corporate Services Officer of MTN Nigeria, has called for more public-private partnerships (PPP) to hasten the development of the nation’s infrastructure after the Federal Government approved MTN’s N202.8 billion reconstruction of the Onitsha-Enugu Expressway through its Road Infrastructure Tax Credit (RITC).
He offered his thoughts on the Lagos technology panel discussion for the Ehingbeti Economic Summit.
The panelists, who discussed “Driving Value through Tech by Positioning Lagos as a Top Destination for Innovators,” included tech industry leaders such as Bode Abifarin, Chief Operating Officer of Flutterwave, Johnson Agogbua, Founder and CEO of Kasi Cloud, Saheed Balogun, and Soromfe Uzomah, Principal Programme Manager – The Garage West Africa, Microsoft.
The ninth Ehingbeti Lagos Economic Summit, with the theme “Lagos 2022-2052: Charting the Paths to Sustainable Socioeconomic Growth,” offered participants from the public and private sectors a productive and interesting forum to discuss concepts like the RITC scheme that will promote socioeconomic growth not just in Lagos but across the entire nation.
The CCSO of MTN Nigeria said the following while discussing how funding lays the groundwork for developing creative ecosystem clusters: “I advise that the government focus on creating an environment, put rules in place, and empower corporate organizations to invest in infrastructure. The government needs to invest less money and spend more money to act in the specific areas that require it as more corporate bodies do it.
The most recent collaboration between the federal government and MTN is an illustration of how the government can create an environment that encourages private sector investment in infrastructure that will spur economic growth.
Recall that the RITC scheme, which enables the private sector to invest tax liabilities in the nation’s road building, repair, and maintenance, was established when President Buhari issued Executive Order 7 in January 2019. The plan ensures that other vital industries get much-needed investment while simultaneously saving the government money.
Up until full cost recovery is accomplished, participating enterprises will be able to deduct the complete cost (project cost) of the building or repair of a qualified road from their future Company Income Tax (CIT) liability.
With this clearance, MTN Nigeria will finish dualizing the 110-kilometer Enugu-Onitsha expressway, having indicated its preparedness to do so under the RITC in August 2021.
With a score of 2.5 out of 7, Nigeria is ranked 131st in the world and 31st in Africa by the Global Competitiveness Report for its performance in the supply of road infrastructure. Nigeria continues to struggle with expanding its transportation system to fulfill its needs, despite having the largest economy on the continent.
