Lagos State

1

Ministry of Commerce, Industry &

Cooperatives

Making Lagos State the Preferred Hub of Investment

A Presentation of Lagos State Government’s Efforts

By

Prince Rotimi Ogunleye, Honourable Commissioner for Commerce, Industry and Cooperatives

June, 2016

2

Outline

Slide Lagos State: An overview 3

Lagos State: Development Objectives 8

Lagos State: Improving our Business Environment 11

Lagos State: Sector Focus 17

Lagos State: Incentives 18

Acknowledgement 22

3

Lagos State: An overview

• Located in the Bight of Benin in SW Nigeria

• The smallest state (physically) in Nigeria (3,577 km2)

• The largest urban area in Nigeria

• Sub-Saharan Africa’s most populous city (21m) and growing at 6% a year

4


The economic hub for Nigeria and Sub-Saharan Africa, accounting for:

25% of National GDP

45% of Nigeria’s skilled labour force

65% of Nigeria's commercial activities

70% of Nigeria’s industrial investment

5

Lagos State: Reasons to invest

Governance

Entrenched Democracy

Fiscal Federalism

Political Will

Collaboration and Cooperation among the three (3) arms of government

Good and stable Leadership and Governance

6


A Transport Hub

• Home to Nigeria’s major ports (Apapa and Tin Can Island)

• 70% of total National cargo freight

• Nigeria’s busiest domestic and international / regional aviation hub (Muritala Mohammed Local and International Airports)

• > 70% of international and nearly 60% of domestic traffic

7


A Commercial hub

• 29 Industrial Estates and 4 Central Business Districts in Lagos Island, Apapa, Ikeja and Surulere.

• 3,235,987 Micro, Small and Medium Enterprises (MSMEs) operating in the State.

A Financial hub

• Home to Nigeria’s lagest concentration of money and capital markets.

An ICT Hub

• Nigeria’s largest ICT market

• Accounts for > 50% of GSM subscribers

An Energy Hub

• West Africa Oil / Gas Pipeline Project and National Power / Energy Load Centre

8

Lagos State: Development objectives

By 2025: Africa’s Model Megacity A global, economic and financial hub that is safe, secure, functional and productive

Key to Nigeria joining the BRICS “club”

The centre of excellence

Lagos State has ambitious development objectives

9

Lagos State: Development

objectives

The Lagos State Development Plan (LSDP) guides implementation of State’s future development

Pillar 1: Economic Development

Pillar 2: Infrastructure Development

Pillar 3: Social and Security

Development

Pillar 4: Sustainable Environment

Prosperity, production and innovation

Enabling State economic growth and

job creation, development and

transformation

Improving living standards and safety of Lagosians, properties

and Businesses

A viable and sound future for our grandchildren

Gender, social inclusion, HIV/AIDS

Finance, good governance and capacity building

Monitoring and evaluation and review

Africa’s Model Megacity: Global, Economic and Financial Hub that is Safe, Secure, Functional and Productive

10

Lagos State: Development

objectives

“Lagos needs to attract more private sector investment from overseas, nationally and locally …

… Improved investment will result in job creation and increased productivity but this will only come about in sufficient strength if the city is seen to provide appropriable means of production.”

LSDP highlights the importance of private sector investment in the State’s development

Lagos State Development Plan, 2012-2025, 3rd draft, December 2102

11

Lagos State: Improving our

Business Environment 1. Infrastructure Provision and Renewal.

• Commissioning of the Blue Line Light Rail project from Marina to Mile 2 by December 2016 and expansion of Lagos- Badagry Expressway.

• Ongoing construction and rehabilitation of roads to reduce traffic delays across the State

• Light up Lagos Project to provide 24- hour economy and to stem the tide of traffic robbery.

• Signing of MOU with a consortium of investors for construction of 38km Fourth Mainland Bridge to complement business and industrial activities in Eti Osa – Lekki – Epe corridor linking with Ikorodu and Lagos Mainland

12


Business Environment

2. Security

• Asset donation of about N6.6bn to the Police for

enhancement of security apparatus in the State such as

patrol vehicles and power bikes, and the Command and

Control Centre which is turning the State into a security

‘Smart City’

• Establishment of the Rescue Unit of Lagos State

Emergency Management Authority with world – class

rescue equipment.

13


Business Environment 3. Legal Reforms:

• Reforms in Justice Administration such as:

Establishment of multi-door court system for quick

dispensation of justice

Amendments in the civil procedures of the state.

Institutionalization of Alternative Dispute Resolution

(ADR) in the state.

Computerized Court System.

4. Institutional Reforms:

• Land Reforms

Electronic land registration to reduce delay associated with land

registration.

Reduction in the amount chargeable on the property cost.

Reduction in the menace of ‘OMO ONILE’

14


Business Environment Institutional Reform (cont’d...)

• Tax Reforms

Electronic Tax Payment to enhance transparency in payment

process

Tax payer education and enlightenment through stakeholders’

conference on Taxes which holds annually.

Self assessment system.

Streamlining of all permits and levies.

• Review of Lagos State Industrial Policy to increase the

contribution of the industrial sector to the GDP of the state.

15


Business Environment Institutional Reforms (cont’d...)

• Adoption of Organization for Economic Cooperation and

Development Policy Framework on Investment (OECD –

PFI) aimed at creating an attractive, robust and competitive

environment for domestic and foreign investments. The first –

time ever the OECD toolkit would be used to design an

investment policy framework for any sub-national Government.

Reform

• Creation of office of Overseas Affairs and Investment (Lagos

Global) to serve as a one-stop shop and for investors to help in

navigating the regulatory environment and promote investment

linkages and information exchange networks.

16


Business Environment 5. Institutionalization of a Public–Private Engagement

Mechanism (PPEM) through the bi-annual Lagos Corporate

Assembly, a platform for receiving inputs and feedback from

members of the Organised Private Sector (OPS) on Government

policies and programmes.

6. Micro, Small and Medium Enterprise (MSME)

Promotion for entrepreneurship development, local

industrialization and global competitiveness of MSMEs.

• Composition of Lagos State Council on MSMEs to harmonize

and strengthen State – wide dispensation of local, national and

international MSME promotion measures and programmes

• Establishment of Lagos State Employment Trust Fund with

N25 billion seed capital to be administered as micro credits to

MSMEs at a single digit rate.

17

Lagos State: Sector focus

1. Manufacturing 2. Agriculture and agro-processing 3. Construction 4. Tourism 5. Transportation 6. Minerals Extraction 7. Power 8. Healthcare 9. Financial and Professional Services 10. Green Industry 11. Oil & Gas and Petrochemicals

18

Lagos State: Incentives

Pioneer Status - tax holidays

Sector Incentives (e.g. agriculture)

R&D Incentives

8 Free Zone locations

19

Lagos Free Trade Zone Private: Operational Manufacturing Oil & Gas, Petrochemical

Airline Services Export Processing Zone

Private: Operational Food Processing and Packaging

Snake Island Integrated Free Zone

Private: Operational Steel Fabrication, Oil & Gas, Sea Port

Ladol Logistics Free Zone

Private: Operational Oil & Gas, Fabrication, Oil & Gas Vessels, Logistics

Lekki Free Zone

Public/private: Operational / Under construction

Manufacturing, Logistics, Oil & Gas, Petrochemical

Free zones in Lagos State


20

Nigeria Aviation Handling Company

Private: Awaiting Approval

Cargo Hub, Trans- shipment and Warehousing

Eko Atlantic City Free Zone

Private: Awaiting Approval

Finance, leisure, real estate, shopping malls, corporate business, commerce

Airport Free Zone NEPZA/ Federal Ministry of Aviation

Awaiting Approval

Warehouses, processing of manufactured goods, tourism, light industries

Free zones in Lagos State


21


• 16,500 ha site – Lekki Epe Local Government Areas

• Phased development

Development of Lekki Free Zone

• Preferential policies and incentives granted to the investors and enterprises available (e.g. tax holiday, duty-free/tax-free import of raw materials and components)

• 1st phase 3,000 ha in collaboration with a Chinese Consortium

22

Thank you for your attention!

Lagos State Ministry of Commerce, Industry & Cooperatives The Secretariat, Block 8,, Lagos Tel: 08023015234 Email: [email protected] Website: www.lagosstate.gov.ng

Lagos State Ministry of Commerce, Industry & Cooperatives

The Secretariat, Block 8, Alausa, Ikeja, Lagos

Tel: 08023015234

Email: [email protected]

Website: www.lagosstate.gov.ng

Itesiwaju Ipinle Eko l’ojewa l’ogun!

Lagos State

Documents

Transcript of Lagos State