It is profitable to invest in Nigeria’s transport infrastructure – Osinbajo
The Vice President, Prof. Yemi Osinbajo, has told private investors to invest in Nigeria’s transportation infrastructure as the government has put in place incentives to guarantee profits on investments. He said the government has done its part by providing an enabling environment, while the private sector should play its part by mobilizing the necessary funds […]
Vice President Yemi Osinbajo
The Vice President, Prof. Yemi Osinbajo, has told private investors to invest in Nigeria’s transportation infrastructure as the government has put in place incentives to guarantee profits on investments.
He said the government has done its part by providing an enabling environment, while the private sector should play its part by mobilizing the necessary funds and personnel to invest in the transportation sector.
Prof. Osinbajo, who spoke at the third National Transport Summit organised by the Chartered Institute of Transport Administration in Nigeria (CIOTA) held in Abuja, also said the government reckoned that the development of transportation infrastructure is key to the development of the economy.
He was represented by the Minister of Transportation, Mr Rotimi Amaechi.
He said the government has already done its part with the Companies & Allied Matters Act (CAMA) 2020, the Finance Act 2020, PEBEC, road infrastructure tax credit, and several other initiatives put in place.
The President and Chairman of Council, Chartered Institute of Transport Administration in Nigeria (CIOTA), Dr Bashir Jamoh, in his address said to end Nigeria’s war insurance status by foreign shipping companies, the country should establish a shipping company that will be the national carrier.
He said the national carrier will provide alternative shipping options for Nigerian importers and exporters and thus force the freight and insurance costs to moderate.
He noted further that if Nigeria has a national shipping line or national carrier, it won’t bother foreign shippers “to remove war risk insurance on our freights.”
“But if we have the national carrier, to some extent we can determine the cost of freight and the supply side and the national carrier which will give us an edge because of the law of demand and supply,” he further explained.
He explained that this is because if the foreign shippers insist on war risk insurance, the national carrier will carry Nigerian cargo at reasonable rates.