Article is quite old but still an interesting read.
Nigeria welcomes Chinese investment in infrastructure
Author: Source: Morning News 2012-07-24 06:58:02 The most populous country in Africa, Nigeria is trying to make use of the Fifth Ministerial Conference of the Forum on China-Africa Cooperation to strengthen economic and trade ties with China.
Participants returned from Beijing and the Nigerian Consul General in Shanghai Ayew said Ott Pula (Ayo Otepola), Nigeria's infrastructure construction and energy sectors'm looking forward to invest in China. "I see a great opportunity to showcase itself as an equal partner to Africa and the huge space to expand cooperation between China and Africa in the Beijing forum, Africa needs to maintain contact with a rising China." He said.
Enterprises repair four railway
China announced at last week's forum in support of African integration, the same non to establish cross-border inter-regional cooperation in infrastructure construction in Africa Partnership, the strength of Chinese enterprises and financial institutions are encouraged to participate in the African multinational cross-regional infrastructure construction.
Ott Pula said, Chinese companies have been in the field of railways in Nigeria to undertake a large number of projects, four projects operated by the Chinese company. Including two city rail. Economic capital city of Lagos light rail is the first formal implementation in West Africa, the first time outside China standard urban rail transit project, the early start segment of civil works is expected to be completed before April 2013. The other is a 45 km long suburban railway project in the capital, Abuja, the investment amount of approximately $ 823.5 million, and the funding sources of soft loans provided by the Chinese side.
In addition, there are two intercity rail system. One is a double-track railway modernization project Ibadan from Lagos to the third-largest city, length of 156.65 km, the contract amount of $ 1,488,000,000. Ibadan is located between the coastal ports and the northern region, there will be a lot of goods from the port of transshipment to inland. There is also a railway updates from Abuja to the northern city of Kaduna, a total length of 186.5 kilometers, the amount of investment of approximately $ 849 million, five hundred million U.S. dollars to the Chinese government concessional loans, is a busy traffic corridor. "These projects show the friendly relations between China and Nigeria both in the political sphere or the economic field, the two sides have close contact." Chopra said Ott.
Build export processing zones
Chinese President Hu Jintao said that China will be the African countries to provide $ 20 billion line of credit, focusing on support for African infrastructure, agriculture, manufacturing, and the development of SMEs. Ott Pula, many African countries, the money is a development opportunity, China also has said, willing to do the development partners in developing countries. The amount, and those struggling in the debt crisis in the country, such as Greece and Spain, of the hundreds of billions of euros in aid funds, $ 20 billion is a small fortune, but the effect of both the benefit population or to create employment opportunities for these loans to Africa are very important and the right measures.
A result of the rising costs of labor and other industrial transfer, Ott Pula pointed out that Nigeria is a very ideal to undertake square. According to him, Nigeria is strategically building a number of export processing zones, there are five already in operation, Chinese enterprises can be stationed, set the machine plant, produced in the processing area in which, not only can enjoy low-cost labor, well as government support and tax incentives, corporate money than to set up factories in China. In addition, he also pointed out that Nigeria is a big consumer market, but also by Nigeria, you can also enter other West African market, the region has a population of 300 million.
Nigeria is almost all accounted for in terms of population size, the total economy and the overall strength of more than 60% of the Economic Community of West African States (ECOWAS). In 2011, Nepal bilateral trade volume reached 10.7 billion U.S. dollars, an increase of 40% compared to 2010. Nigeria is now China's second largest export market in Africa countries. The recently published United Nations Conference on Trade and Development (UNCTAD) 2012 World Investment Report, 2011, sub-Saharan African countries to absorb 369 billion U.S. dollars of foreign direct investment (FDI), where Nigeria absorb $ 8.92 billion to become the African continent, the introduction of foreign direct investment in most countries.
However, the employment of Chinese workers of the Chinese companies in Africa, has long been controversial, Ott Chopra believes that this is indeed the need to maintain a balance. "If Chinese companies bring in technical experts, we welcome, it can teach the locals, technology transfer can also be achieved, but if the Chinese company to bring about this can be found in the Nigerian local labor, it would not benefit the local economy. need a win-win and mutually beneficial relationship. complain, it shows there is room for improvement. "
Interpersonal exchange is very important
Recently, some areas of the attacks occurred in Nigeria, to some extent, affected the confidence of foreign investors. Ott Pula admits, these security challenges do exist, Nigeria will and the countries concerned with the fight against terrorism, extremism, but he stressed that these threats are short-lived, local, not a common phenomenon in Nigeria as a whole is peaceful .
And with more and more Chinese people destined for Africa, and more and more Africans to China, the two sides also occasional misunderstanding and even conflict event occurs. Ott Pula, on both sides, the best way is to increase the understanding of, removal of the rigid pattern of impression, through dialogue and cooperation to increase mutual understanding between people. "If you're a part of inherent vision to look at, or look down on some people, it will cause a mood of dissatisfaction, you would be willing to stay there if you go to the Chinese community in Nigeria, Nigerians easily accepted people from outside, "he said.
Echoing this, does China proposed to strengthen non-governmental friendly. China Initiative "China-Africa friendly action" to support and promote the bilateral non-governmental organizations, women, youth exchanges and cooperation; continue to implement the "China-Africa Joint Research and Exchange Program, funded the bilateral academic institutions and scholars to carry out 100 academic research, exchange cooperation projects.
