Nigeria is widely referred to as the Giant of Africa because of its population size of about 200 million. Nigeria is the most populous country in Africa and the most populous black country in the world. It is currently the seventh most populous country in the world.
Nigeria is the biggest economy on the continent; according to the World Bank, Nigeria’s GDP is more than seven times the GDP of Ghana. One would think Foreign Direct Investment (FDI) will flow into Nigeria at a faster rate than Ghana, but that is not the case.
In 2018, Ghana received more FDI than Nigeria due to investors being more comfortable with Ghana’s policy and security.
In 2020, the National Bureau of Statistics recorded that Nigeria received $414.79 million FDI in nine months. In contrast, Ghana received $785.62 million in six months. Despite the size of the Nigerian economy, investors seem to favour Ghana.
As many have said, “Nigeria is not a big market because it has over 200 million people; a market is not just the number of people but also the number of people who can afford a product”. With nearly half of Nigeria living in extreme poverty, there are certain goods they cannot afford.
In 2019, Google, the tech giant, opened its first artificial intelligence lab in Ghana. Social media giant, Twitter, also announced that it is officially making Accra the headquarters of its operation in Africa.
The President of Ghana, Nana Akufo Addo.
In a statement announcing the decision, Twitter described Ghana “as a champion for democracy, a supporter of free speech, online freedom, and the Open Internet.”
“This is what you get when you de-market your own country,” Information Minister Lai Mohammed told reporters, in a video posted on Twitter by his ministry.
“Nigerian journalists were…painting Nigeria as a hell where nobody should live,” he said of coverage of the protests in which Twitter users coalesced behind the #EndSARS hashtag in reference to the widely feared Special Anti-Robbery Squad that was disbanded after abuse allegations surfaced.
#ENDSARS Protesters
While corruption, unemployment and insecurity have been identified as chief sources of Nigeria’s woes, there are other issues that have stunted its development, one of which is the ease of doing business. Did you know that Nigeria is the hardest country in sub-Saharan Africa to register a property? Of all 48 countries monitored by the World Bank, Nigeria ranked 48 in the 2020 Ease of Doing Business Index for Africa.
A World Bank Enterprise survey reported that 322 private firms closed down in Nigeria between 2009 and 2014 due to stifling business regulations, corruption, and political environment.
With its $385bn economy and nearly 200m population, Nigeria should be the most obvious destination for investment and repatriation from the African Diaspora. Will that change in the next five, ten or twenty years? Let’s watch and see…
*** Thanks for taking the time to read this article… Do you have any friends or relatives interested in visiting Nigeria in the near future? Do you know of a travel agency we can partner with or interested in being compensated for your referral? Look no further; check out www.africhellatourz.com or contact 1-866-4CHELLA Don’t forget to tell a friend to sign up for our weekly newsletter exploring various topics about Nigeria.
REFERENCES:
- https://edition.cnn.com/2021/04/13/africa/twitter-hq-africa-ghana/index.html
- https://www.channelstv.com/2021/04/12/i-thought-nigeria-was-giant-of-africa-reactions-trail-establishment-of-twitter-base-in-ghana/
- https://www.dallasweekly.com/articles/is-ghana-slowly-becoming-the-giant-of-africa-part-1-the-history/
