Most profitable investment opportunities in Nigeria (2020)
Most profitable investment opportunities in Nigeria (2020)
Nigeria, widely thought to be the foremost populous black nation within the world and also called the large of Africa is incredibly rich in natural resources and human resources with many of it’s potentials unexplored or under-explored.
From the South which is endowed oil and other natural resources to the north which is endowed gold and other resources, Nigeria is stuffed with opportunities for anyone willing to speculate. this text reveals the foremost lucrative investment opportunities in Nigeria.
No matter your budget, there are opportunities you’ll invest. From as little as ₦100 to the massive billions of naira, you’ll be able to invest in Nigeria and expect an honest return on your investment. this text covers investment opportunities in Nigeria for low income and high income earners. For foreign investors too. there’s something for everyone!
Why do you have to invest in Nigeria?
There are many reasons why you must consider investing in Nigeria. Nigeria is the largest economy in Africa previous Republic of South Africa, Egypt and therefore the rest. With such a large amount of opportunities for growth, PwC has projected Nigeria among the highest world economies in 2050 previous Italy, Canada, Asian country, Spain, Netherlands, Australia and others.
With over 200 million people, Nigeria has the people, manpower, workforce that may help any business thrive. The pay in Nigeria is low compared to other nations. This means, you’ll spend less and find more done.
There are numerous government incentives including tax holidays, duty drawbacks, investment allowances, tax exemptions, export development funds, double taxation reliefs and lots of more.
There are influx of investors from China, The West, South Africa into Nigeria. Nigerians also are wakening to take a position in their country.
Most lucrative investment opportunities in Nigeria
Here are the foremost lucrative investment opportunities in Nigeria:
Nigeria’s population is estimated to be over 200 million. And one among the largest challenges is feeding this huge population. Nigeria has been unable to supply enough food for it’s population so that they depend such a lot on import.
in 2018, Audu Ogbe, the minister guilty of Agriculture in Nigeria at that point said the country spends $22 billion once a year on food importation. Since independent, successive government has tried to cut back food importation. And as a result many incentive has been given. The Bank of Agriculture was created to assist businesses that are into agriculture get finance and support.
There are many finance institution including the ministry of finance in Nigeria who offer special financial assistance to Agriculture focused businesses. Agriculture is unquestionably one in every of the foremost important investment opportunities in Nigeria.
Investing in the Agriculture sector are a really lucrative venture if calculatedly and executed. Areas of major interest include crops, livestock, transportation, farm equipment and plenty of more
2. real estate
Real Estate in one in every of the foremost profitable investment opportunities in Nigeria. this is often thanks to the booming population. and huge migration to major cities like Lagos, Abuja, Port Harcourt, Uyo and therefore the rest. Investment in assets in major cities will be very lucrative for investors.
The opportunities include low cost housing, supplies of building materials, hotels, shopping complex so more. There are many aspect you’ll invest in property and make profit.
As the population continues to grow and also the economic keeps growing, one among the largest problem is housing.
3. Oil and Gas
The Oil and Gas sector is what Nigeria depends on on. Both foreign and native investors can key in to the Oil and gas sector in Nigeria and watch their investments grow. Nigeria is one among largest oil producers in the world.
Here are some areas investors can key into in the oil and gas sector
- Exploration and Exploitation
- Products Marketing
- Well Services
- Petroleum transportation
- Development of local alternatives for imported items like medium pressure valve, pumps, shallow drilling equipment, lubricator, bits fittings, drilling cements, detonators, steel castings, magnetic tapes and more.
- Construction and Installation
- Domestic Production and marketing of
- Liquefied Petroleum Gas (LPG)
- Manufacturing of LPG cylinders, valves and regulators, installation of filing plants, Retail distribution and development of easy, flexible and far more cost-effective gas jet to encourage the utilization of gas rather than wood and other fuels.
- Establishing industries to provide chemicals and Solvents from gas, like Chlorinated methane, Formaldehyde et al.
- Establishing plant to for the assembly of refined oil, petrolatum and grease et al.
There are many investment opportunities within the Oil and Gas sector.
Apart from oil, Nigeria is blessed very numerous natural resources that’s not been given attention. An investment during this ignored areas may be very lucrative for a determined investor. The mining sector in Nigeria is much under explored. Not much has been done. This leaves plenty of opening for potential investors who will want to possess a glance.
Many of the resources in Nigeria are untapped and also the government has continued to indicate signs it’s willing to cooperate with investors who want to urge in.
Some of the resources include:
- Iron metal
5. Manufacturing Industry
Nigeria could be a country that’s over hooked in to importation for the tiniest of things that you just may never think about. this is often isn’t adequate for the most important economy in Africa. because the economy continues to grow, there’s must produce such a large amount of things reception. the person power is there.
An investment in Nigeria’s manufacturing sector will yield result. Create employment and boost the economy. Consecutive governments have constantly require investment within the manufacturing sector.
Minor home goods like toothpick is generally important into Nigeria. There are many crucial things to manufacture: Food items, water (table and sachet), fibre cables, telecom system, tyres,fashion and also the list is long
6. FGN savings bond
FGN government bond could be a bond issued by the Debt Management Office (DMO) on behalf of the central of Nigeria. The bond is ready-made and targeted at retail investors with guaranteed quarterly interest payment and repayment of the principal at maturity.
When you buy the into the FGN savings bong, you’re lending money to the centralized of Nigeria for a period of your time and you’ll be paid interest. this can be considered a every safe investment in Nigeria because it’s the total backing of the central of Nigeria.
You can invest from invest N5,000 to N50,000,000 for a period of two to twenty years. The interest you earn on each investment depends on the term
Stocks may be a awfully risky investment but it can even be very lucrative. If you have got money that you just don’t have any urgent need for, you’ll be able to put it into well analyzed stocks.
It is like looking on the a corporation to try and do well. you purchase into it. If the corporate appreciates, you create money.
8. Fixed deposit
This is an honest thanks to invest money with peace of mind. If you’ve got an outsized money that you simply won’t need for a period of your time, you’ll be able to fix that money in a very bank or other financial organisation and make big profit thereon. Politicians profit of this lots.
Usually, the longer you fix the cash, the larger the profit. Just approach a bank and tell them you would like to open a hard and fast savings account. you may be put through the method.
Just return, relax and move your normal duty while your money is literally growing.
Tech stands for technology. Investing in technology is that the best practice during this century. Technology dominates everything that we do. in line with statistics, there are over 76 million Nigerians who uses the net. that’s big!
Nigeria is battling numerous problems that may be solved with technology. There are some ways technology can make life better.
Invest in tech companies or build one yourself. Pick an issue to unravel and therefore the future is yours.
Recently, FinTect has been trending in Nigeria. But there are many other aspect of tech!
10. Transportation and Haulage services (logistics)
Nigeria includes a problem. Especially in big cities like Lagos. The population is so concentrated in these areas that transportation becomes an enormous challenge. it’s a awfully common thing to work out large crowd of individuals at different bus stops in Lagos at the close of labor helplessly awaiting buses.
An investment within the transportation sector may be a good investment. With the quantity of major traffic in Nigeria, there’s need for alternative transportation like water transportation and trains.
In places where motorcycle and tricycle are allowed, it can make a decent investment.
Haulage services is incredibly lucrative. there’s constant have to transport various items from petroleum products to edible products, textile and more.
There are franchise opportunities that anyone can tap into and grow money. Franchise is the fastest thanks to launch a business and have many purchasers. Because you’ll have a brand that’s trusted and well-known. this implies people will patronise you from day one with none sort of marketing!
Cryptocurrency is trending worldwide and it’s in Nigeria too. From as little as N100, you’ll be able to invest in cryptocurrency and reap great returns.
There are many platforms that produces it easy for you to take a position. you’ll be able to read: the way to start investing in Bitcoin in Nigeria.
If you’ve got an enormous investment, you’ll start a localized cryptocurrecny trading platform.
13. Investment apps
There are investment apps that may facilitate your invest your money regardless of how little you have got. These apps can facilitate your grow your money without stress. All you’ve got to try to to is deposit the cash within the app and you’ll reap profit in time. they’re reliable.
There are many investment opportunities in Nigeria and this page are going to be regularly updated
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