By Princess-Ekwi Ajide, Abuja
Federal Government says its desire for the concession of Calabar and Kano Free Trade Zones (FTZs) is to enable it catalyse business in the West African sub-region, through strategic production of goods and services that optimise the vast potential of the industrial axis of Cross River and Kano States.
The Director General of the Bureau of Public Enterprises (BPE), Mr. Alex Okoh who revealed this while speaking at a Roadshow organised by the Bureau in conjunction with the Ministry of Industry, Trade and Investment (FMIT&I) and Nigeria Export Processing Zones Authority (NEPZA) in Lagos last week, said the Federal Government also expects that the FTZs must move beyond the disjointed clusters of business premises to world-class special economic zones comparable to their counterparts globally.
He said, the Roadshow was to showcase Federal Government’s plan to unlock the potentials of its two assets through the injection of private sector capital, as well as the deployment of technical expertise.
Okoh, commended the President Muhammadu Buhari led administration, for its willingness to improve the level of its service delivery and infrastructure stock by partnering with the private sector in a mutually beneficial relationship that would be beneficial to private sector investors and deliver economic benefits to Nigerians.
The Director General recalled that the Bureau had in the last 18 months organised a series of webinars and investors’ fora targeted at the Ministries, Department and Agencies (MDAs) of government; the global investment community; financial institutions and other key stakeholders of the Federal Government’s policy directive on the administration of Public-Private Partnership (PPP) in Nigeria.
According to him, the policy, gives the BPE the mandate to superintend in all PPP infrastructure project procurements in Nigeria, in collaboration with the MDAs, who are owners of the assets and Infrastructure Concession Regulatory Commission (ICRC), the regulator of concessions in Nigeria which is why the Bureau, is desirous of showcasing the two government free trade zones that require private sector investment as well as innovative capacity to unlock their full potentials.
While stating that the event provides an opportunity to not only showcase the two zones but also to interact with potential investors, receive some feedbacks and provide some clarifications as regards the transaction, Okoh added that the Requests for Qualifications (RfQs) were ongoing and would end on May 25, 2022.
He assured all stakeholders that activities leading to the successful conclusion of the two transactions would be carried out in line with best global practices, as well as the stipulated ICRC Guidelines.
Managing Director of NEPZA, Prof. Adesoji Adesugba, represented by Director Zones, Muazu Hadi Ruma, highlighted the significance of investing in the two FTZs and revealed that free duty, tax exemptions and import substitution drive, among others are some of the incentives and benefits of investing in the zones and assured prospective concessioners of a safe environment.
Damilola Aloba, who represented the transaction advisers of the FTZs, said the two-tier concession structure which involves a property holding company and the concessionaire would be adopted for the transaction and listed funding, rehabilitation, operations, technical know-how, managerial and administrative prowess and maintenance of the FTZs as key considerations and expected outcomes from the concession.
