Nigeria

With two new cement plants coming online within the past few months, Nigeria’s cement production capacity has increased substantially. This expansion should mean the domestic production will not only be able to meet the demands of the local market – which has been subject to significant price volatility in recent years – but also export to regional economies.

A new draft National Information and Communications Technology ICT Policy, released in January, aims to bring together all of Nigeria’s related technology policy under a single statute, overhauling outdated regulations to better manage the country’s dramatic growth in computer and internet usage over the past decade.

A resurgence in Nigeria’s banking sector has seen assets and profits recover to beat pre-crisis levels as wide-sweeping financial reforms improve the country’s investment image, although there are concerns the renaissance is vulnerable to shocks in the eurozone.

The privatisation of Nigeria’s power sector continues to ease forward, with the Ministry of Power now expecting the process to be completed by the second or third quarter of 2012. Meanwhile, in December the government licensed 20 independent power producers (IPPs), in a move that could significantly boost the country’s power-generating capacity over the next few years.

Emphasising the government’s fiscal prudence, Nigerian President Goodluck Jonathan presented the 2012 federal budget to the National Assembly in mid-December, noting that although spending is expected to rise, the deficit is projected to fall.

After overcoming a number of political obstacles in 2011, Nigeria's government has pledged to keep economic reform momentum strong this year, with steps aimed at encouraging macroeconomic stability, improving investment attractiveness and confronting unemployment.