News

June 24, 2024

Exit of multinationals has cost Nigeria N95 trillion in five years — Peter Obi

Dangote Refinery

By Miftaudeen Raji

The 2023 Labour Party presidential candidate, Peter Obi said the exodus of multinational companies from Nigeria has cost our nation a staggering N95 trillion in the past five years.

Obi stated this in a statement via his X handle on Monday.

He expressed concern over the departure of over ten major companies in the last year alone, including GlaxoSmithKline, Equinor, Sanofi-Aventis, Bolt Food, Procter & Gamble, Jumia Food, PZ Cussons, Kimberly-Clark, and Diageo.

Obi stated, “I am compelled to address the alarming exodus of multinational companies from Nigeria, which has cost our nation a staggering N95 trillion in the past five years.

“According to The New Telegraph, in the last year alone, over ten multinational giants such as GlaxoSmithKline, Equinor, Sanofi-Aventis, Bolt Food, Procter & Gamble, Jumia Food, PZ Cussons, and Kimberly-Clark, Diageo and others, have exited Nigeria, citing eerily consistent reasons.”

Speaking on the nature of the issue, Obi said, “It is clear these issues are not coincidental but symptomatic of a larger governance problem.”

Meanwhile, Obi has called for action from the authorities, saying Nigerian leaders must address the trend of multinational companies leaving Nigeria.

He said, “The responsibility lies with our leadership, those we put in charge to urgently address these challenges.”

The former Anambra governor outlined areas for improvement, including creating a business-friendly environment, prioritising security, stabilising policies, and reducing energy costs.

He also stressed the importance of “cultivating a culture of transparency, accountability, and good governance.”

Obi further called for unity and transformation, saying, “Let us unite to transform Nigeria into a nation conducive to business, attractive to investment, safe and prosperous for all citizens.

Together, we can make Nigeria a beacon of hope and progress in Africa and the world.”

Recall that GlaxoSmithKline Consumer Nigeria Plc had announced plans to shut down its operations in the country. 

The announcement was disclosed in a press statement and filed with the Nigerian Exchange Limited. It was signed by the Company Secretary, Frederick Ichekwai.

Similarly, Jumia Food, the food delivery service of the e-commerce company, Jumia Technologies, announced plans to shut down operations in Nigeria in December 2023.

Jumia said it will close its food delivery business in Nigeria and six other countries in which it operates by the end of the year to focus on growing its core online retail business.