In a recent press statement, Leo Stan Ekeh, the Chairman of Zinox Technologies Limited, shed light on the key reasons driving multinational companies to exit Nigeria.
Ekeh, a serial digital entrepreneur, emphasized that corporate blackmail and bullying pose significant challenges to the ease of doing business in the country. He warned that unless addressed promptly, more multinational and indigenous businesses might shutter in the coming months and years.
While acknowledging the impact of forex scarcity on businesses, Ekeh pointed out that the cited reason by exiting multinationals—depreciation of the naira—is only a diplomatic explanation. According to him, corporate blackmail, facilitated by a slow judicial process, has become a destructive business model in Nigeria, adversely affecting foreign direct investments (FDI).
Ekeh drew attention to a specific case involving TD Africa and himself, where an Ibadan-based computer firm, Citadel Oracle Concepts Limited, leveled false accusations. Despite investigations clearing them of any wrongdoing, Ekeh highlighted the prolonged legal battle lasting over eight years, showcasing the challenges investors face when navigating the Nigerian business landscape.
In an open letter to President Bola Tinubu, Ekeh urged the government to address issues of corporate blackmail promptly. He called for a focus on policies promoting the patronage of indigenous manufacturers and service providers to stimulate the economy.
Ekeh expressed confidence in President Tinubu’s ability to tackle the issue and suggested a robust policy encouraging support for local businesses. He emphasized the importance of self-sufficiency, urging the government to enforce existing local content policies to boost confidence in the economy and attract international investors.
Furthermore, Ekeh appealed to President Tinubu to activate the suspended national census, citing its importance in decision-making, planning, and attracting investors. He proposed releasing over 500,000 Tablet PCs used during the census to educational institutions, fostering digital skills among students for global competitiveness.
