Date: 2021-08-21

The Chairman, Basic Metal, Fabricated Iron and Steel Products, Mr Kamoru Yusuf has advised the federal government to provide investment platform that would assist the indigenous manufacturers of iron and steel of doing business in order to boost economic growth of the country.

Yusuf who is also the Chief Executive Officer of KAM Wire Holdings, Ilorin gave the advice while speaking at the meeting of stakeholders in iron and steel sector in the country held in Ilorin, the Kwara state capital.

The meeting was organised to deliberate on status of the industry and propose strategies for the development of the sector and was attended by relevant government ministries, departments and agencies (MDAs) as well as local and foreign chief executives of iron and steel companies.

He said it is high time the government holds only marginal interest and the indigenous investors get major interests in order to accelerate the growth of steel and iron sector in the country.

Yusuf said that future of iron and steel business in Nigeria will heavily be dictated by the policy thrust of the government, which, he said, must be tailored towards rendering necessary support and ease of doing business to investors in the sectors.

He said it is the position of the general public that Ajaokuta steel plant should work again in the hands of local investors.

Nigeria, he said, needs to pride herself as the giant of Africa by making judicious use of her highly talented, patriotic and committed indigenous investors with adequate recognition of the stakes of the government.

He said, "Without mincing words, the assets should not be handed over to foreign investor(s), rather, it should be managed 100 per cent by a competent indigenous investor who had demonstrated capability with evidence of success stories on existing steel plants and wire processing factories.

"With this, government can and may own 40%, while the investor will own 60%. This will no doubt, enhance easy, sustainable, and rewarding business fortunes for the nation. Every phase and processes of the investment must be given cognizance attention and priority."

Yusuf also said that the nation is assured that the capital and proceeds would remain here and will be re-invested into our economy, if indigenous steel investors are given the chance to resuscitate Ajaokuta.

He said that FG should take a cue from its developed counterparts by allowing Credit Insurance Underwriters to operate in Nigeria, adding that investment in the iron and steel business is capital-intensive with huge risks.

He noted further that, "We believe that with policy shift, some benefits will accrue. This would complement the Backward-Integration Policy of the Government, which seeks to preserve our scarce foreign exchange and create employment for millions of Nigerians directly and indirectly.

"There will be more liquidity in the Nigerian economy and Nigeria would have the opportunity of competing with her peers in the continent and across the globe. It will minimise brain drain to foreign countries in the name of search for greener pasture, especially among our teeming youths. Nigeria would be able to participate successfully in the African Continental Free Trade Area (AfCFTA) and compete favourably among countries in the continent, "he said.