Anchored by the Federal Ministry of Industry, Trade and Investment, and in collaboration with the United Nations Industrial Development Organisation (UNIDO), the Federal Government has established the first-ever Investment and Technology Promotion Office (ITPO) in Lagos, Nigeria. The coordinator, UNIDO Investment Promotion Office Network, Lucia Cartini, discusses the importance of the project in this interview with Chinwe Agbeze. Excerpts:
The Nigerian government and UNIDO have launched the first ITPO project in Africa. What is the significance of this project?
Let me start by saying that history has been made today by the launching of the Investment and Technology Promotion Office in Nigeria. It is the first of its kind in Africa. You can see that the representatives of the relevant collaborating organisations are here: they are the Federal Government, represented by the Ministry of Industry, Trade and Industry, the representative of the Economic Community of West African States (ECOWAS), and the UNIDO Resident Coordinator.
We are launching the office officially, and after that, we will kick-off an inception workshop with all stakeholders and partners, and all those who agree on the need to advance the purpose of the office.
Why did you choose Nigeria for this project?
We believe that because Nigeria is the largest economy in Africa, and because the country has very high potential for entrepreneurial ideas and sustainable business growth, as well as excellent human capital, there are excellent opportunities for business and economic growth, especially in the non-oil sector.
Recently, the price of oil has gone down and UNIDO wants to support entrepreneurs, who are poised to make a difference by developing standard business models, especially in the non-oil sectors of the economy. The Nigerian economy needs to invest in all the sectors, especially the non-oil sectors.
This activity is in line with the mandate of UNIDO. The UN General Assembly has mandated UNIDO to promote sustainable investment as a means to economic development in Africa. We can do this by identifying and supporting business objectives that will lead to the economic development of our member countries.
In Africa, Nigeria is the best place to start this pursuit. The Government of Nigeria has partnered with UNIDO to promote inclusive development and ensure that rewarding Foreign Direct Investments in manufacturing are attracted to the country.
Will the ITPO reach-out to Nigerians from UNIDO’s office in Abuja or would you create offices across the country?
The ITPO office will be based in Lagos, although we are in Abuja to launch it. The launching is taking place in Abuja because the MDAs are here in Abuja; the UN base is also in Abuja. For these reasons, it is easier to make an official launching in Abuja.
Nigeria is housing the first ITPO project in Africa, and its office will be based in Lagos. It is situated in Lagos because Lagos is more economically active. Banks, companies, industries and other businesses have continued to gain ground in Lagos more than elsewhere in the country.
Away from Africa, there are ITPOs in Asia, Europe and Arabia. So this is the first ITPO in Africa. From Nigeria, the project will be extended to all the countries in the West African sub-region that form ECOWAS. Nigeria is the lead country for the project. For this reason, the ECOWAS Commissioner for Trade is here.
Can you be more elaborate on the benefits Nigeria will gain from the ITPO?
The benefits of the office to Nigerian entrepreneurs in the medium and long run are numerous. First, they will be linked to other businesses and entrepreneurs in UNIDO’s global ITPO network. Please note that ITPO operates as a network. So the groups and entrepreneurs who will be part of the ITPO-Nigeria network will be exposed to global business opportunities through our global connection.
Also, the Federal Ministry of Industry, Trade and Investment and all other stakeholders will be connected with Japan, Italy, Shanghai, Beijing (China); Republic of Korea, Ukraine and Moscow, among others.
Nigerian businesses and entrepreneurs who are connected to ITPO Nigeria will receive delegations from all the countries in our global network.
Tell us, who will fund ITPO-Nigeria?
The ITPO project is funded by Nigeria because UNIDO is not a funding agency. The role of UNIDO in the collaboration is to provide first class technical expertise, far reaching networks and methodology. UNIDO is a specialised technical agency of the United Nations system. Member states who want to receive technical support from the Agency must pay for it either through the regular budget or some means of fundraising.
What is the annual budget of the ITPO?
The budget of the office is $1 million annually. This is the annual operational cost – meaning it covers all expenses from the staff salaries to activities and financial support for local companies. There are ITPOs elsewhere in the world that are given larger budgets but we will start with $1 million in Nigeria. We want to test-run the project and see how it will work in Africa. We will continue to evaluate and improve on it.
How will the ITPO Office and its programme affect existing economic activities in the country?
It will affect them positively. Already, the Nigerian Industrial Revolution Programme (NIRP) has already been supported and it’s making headway. Other key programmes too. The ITPO was formulated, taking into account the problem of existing projects so that ITPO will support and complement their efforts, not to duplicate activities.
So we want to make sure that ITPO is part of the budget and does not operate in isolation from other UNIDO projects and other UN activities put forward by the Nigerian government.
What sectors of the economy will the ITPO Office focus on?
Agro, leather, food processing, beverage processing and everything that is non-oil based.
What lessons can Nigeria learn from the ITPOs in Europe, Asia and Arab?
Nigeria is unique, especially by virtue of its very large economy. The African continent is also unique. Being the first ITPO in Africa, so many unique things will unfold that will further define the peculiarities of ITPO-Nigeria. ITPO-Nigeria will be developed, based on the priorities of the government. In terms of variation, we can say that other ITPOs can assist this newborn office to be more integrated with other emerging economies like Korea and Japan. So they can receive delegations from Nigeria.
Already, delegations have been sent to some other states like Italy for its progress in the leather sector in order to learn and share the experiences of these countries in various sectors.
So, there can be knowledge sharing between ITPO Nigeria and those of other countries in order to develop various sectors.
For example, it is true that Japan is outstanding in green technology. Nigeria can meet Japan and get some valuable information on green technology that will be successfully used in Nigeria. South Korea is also renowned for energy. Italy is prominent for ship and leather. So knowledge can be shared and gained among various ITPOs.
The interesting exchanges will lead to global development while also helping to develop the economies by providing jobs and creating wealth.
How would UNIDO monitor the progress of ITPO Nigeria, and ensure that the programme remains on track?
We will have an inception workshop that will point out our aims and that will further give direction to the project. The workshop is to ensure that we are all on the same page. UNIDO is very strict with fund use, especially in the running of ITPOs. In UNIDO, auditing and evaluation units are special sections.
This tells you the importance we attach to transparent use of resources. The Director and executives of our offices in Nigeria will monitor the project and ensure full compliance. We give room for improvement and we expect that progress will continue to be made even as we start. UNIDO is a neutral and honest organisation.
