The Nigeria Export Processing Zones Authority (NEPZA) has announced that it will provide tax rebates, customs duty waivers, and other incentives to startups and foreign enterprises operating in free trade zones as part of attempts to stop the swelling tide of foreign company exodus in the country.
Olufemi Ogunyemi, the Managing Director of NEPZA, informed the News Agency of Nigeria (NAN) that the organisation was assisting companies operating in its free trade zones and enclaves.
According to him, the purpose of this programme is to lower production costs and encourage businesses to continue operating in Nigeria. In order to draw in and keep foreign direct investment, we provide a variety of advantages.
“These incentives include tax breaks, deferred payments to the government during the startup phase of businesses, and waivers of customs duties.”
Provision of innovative options
He went on to criticise the departure of multinational corporations and the closing of enterprises all throughout the nation, saying that part of the Government’s aim is to solve the issues brought up by these organisations, such rising power costs, by providing creative solutions that are customised to meet the needs of businesses.
He stated that firms will be required to teach Nigerians sometimes to a professional level through CSR initiatives, which he referred to as “Community Social Regeneration,” in exchange for these corporate reliefs.
He stated, “Unfortunately, there is a current trend of businesses moving because of problems with electricity supplies and foreign exchange availability. NEPZA is actively engaged in offering power generation solutions suited to the requirements of companies operating inside its zones in an effort to lessen these difficulties.”
“On the other hand, as I previously stated, it is a handshake, therefore we give first, then take. Therefore, NEPZA urges that these foreign direct investors employ Nigerians. They train Nigerians to be skilled, semi-skilled, and sometimes even professional. These are statutory requirements included in this handshake.”
“On top of that, there is something called CSR, which I prefer to call Community Social Regeneration. That seems like a more appropriate description to me. Additionally, it is one of the prerequisites we have for each of these investors.”
According to Ogunyemi, the NEPZA serves as a one-stop shop for investors, streamlining communications with government offices to enhance the convenience of conducting business in NEPZA zones.
Although he acknowledged that this direction had not always been implemented, he pledged to see to it that it is carried out during his administration for the good of the nation and investors.
Notwithstanding changes in the world economy, the managing director expressed confidence in Nigeria’s capacity to draw in and hold onto foreign investments.
He also underlined NEPZA’s commitment to employing incentives and expedited procedures to support the nation’s economic growth and business retention.
