Jaiyeola Andrews
30 June 2009
Lagos — Today, about 40 executives of various companies will storm Ogun State with a mission THISDAY gathered, will be strictly on how they could tap into the investment opportunities that abound in it. The consortium of companies will be led by the Governor of Zhejiang Province, Mr. Lu Zushan. The delegation is expected to explore investment and business opportunities in the state, as well as explore mutually beneficial partnership.
They will also hold discussions and meetings with top officials of the State government and members of the organised private sector to be led by Governor Gbenga Daniel on investment opportunities that could be explored to consolidate the business profile of the Gateway State.
It is not uncommon in the Nigerian nation for government of the day to invite investors, and at the end all the efforts would come to nothing, as neither the investors, nor the projects would see the light of the day. Whether Ogun State case will be different is left to be seen.
On the visit to the State by the Chinese, Economic Adviser to Governor Daniel, Mrs. Yosola Akinbi told THISDAY that "these top-flight companies deal in turnkey power projects with unparallel technical training abilities and after-sale-service. Also expected on the trip are companies with expertise in machine tools, steel construction, financial investment, metal and minerals, medical and health products, native produce and animal by-products, copper processing, real estate, education, plastic tube processing and hotel management." She said on its part, the State Government would give an overview of the State with a full cocktail of investments opportunities to optimise the state's drive towards sustained economic development.
According to the Economic Adviser, the business delegation is "a wonderful opportunity for businessmen from both Ogun State and the country at large to explore business opportunities. It is a credit to Governor Daniel's progressive economic policies, that such a high powerful delegation is visiting the State at this time. I enjoin businessmen to leverage fully from the visit," she said
She hinted that during the visit, a Memorandum of Understanding with Governor Lu Zushan and the entire delegation would inspect industrial sites in the State, as well as perform the foundation laying ceremonies.
THISDAY investigation showed that skepticism has continued to trail the feasibility of these projects that are attracting investors to the State, especially when the expiration of Daniel's tenure is two years away. But Akinbi allayed such fears, saying that State Government was poised to executing these projects. She added that "the clear vision we have, is to make Ogun State a model for other States. And in making Ogun State a model, we said we want to be known for its business activities, business friendly environment, and to make sure that visitors and even residents of Ogun State are comfortable, and the only way to do that is to make sure that economic activities are ongoing."
According to Akinbi, when the state has increased its economic base, it would have more money to do social services and all other things that government must do for its people that voted it into power. She noted that in achieving this, Government had to be clever and take advantage of its Gateway position.
Findings indicate that in taking the advantages of Ogun State as entry point to other States of the federation, the State Government had promoted a lot of transportation projects like the airport, seaport as well as rail line with a view to ensure that the state lives to its billings as the Gateway State.
The Economic Adviser to the governor further told THISDAY that, "when you use transport to drive any state or any nation as it were, it helps to increase the pace of economic activities because businessmen naturally, they fall into places that is easy either for their raw materials or for their finished goods because of the cost of transmitting this things."
There is no doubt that the proposed airport by the State Government is rocked by criticism. While some people in the State sees it as a white Elephant project, some describe the project as not realistic, considering the life span of Daniel's administration which will terminate in the next two years.
Akinbi however said that "for us, it's to put a programme in place, it is not about project. Project for us is about the daily things that we must necessarily do for our people, but the programme itself, that irrespective of us will work. The airport, we are not seeking to build buildings, if it is just about structure, I think this administration led by Daniel has demonstrated in clear terms that it has the capacity and ability to be able to do project, even in two months."
She noted that the airport was in the domain of the Federal Government and the State Government must get so many approvals, adding that Ogun State Government was poised to build an airport of international standard that the country would be proud of no matter the time it takes to achieve that.
"No apologies for the time the airport has taken because we want to get it right, we want to make sure all the processes are in place. If you go on the internet, right now they top the list in terms of design and all for airport that is the sort of people that have done the design for our airport. And the idea is that let us have a good Airport."
Besides, she said the Airport would be known and dedicated to cargo where there would be bus terminal, a link to it with deep Seaport. Noting that even the project could not be accomplished in 8 years because of the volumes of work involved, beginning from the careful planning state to the execution of the project, as the State Government would not want to deliver a political project that may not stand the test of time.
In a random sample by THISDAY indicate that those who support the projects believe they would generate employment for the teeming unemployed people of the state and the fallout will likely witness a drop in the rate of crimes in the state.
On the airport, Akinbi said "we have finished the technical design and we have even gone to tender in terms of bid, a detailed process to make sure that it is the best of hands that are now going to do that. Honestly, I would tell you this is the easiest stage of the project for me, because we have gone through all that process of approval and design, it is just about the contractors moving to site."
To finance massive projects, life line is required. This may have prompted the State Government to go to the market for N60 billion bond. But the bond's proposal has courted controversies, as the State House of Assembly in its resolution kicked against it on the ground that the Government must come up with the financial status of the State before the bond could be obtained.
But the Economic Adviser who said there was nothing controversial about the bond, told THISDAY that even the Speaker of the State House of Assembly, Tunji Egbetokun went on air to say the House had nothing against the bond. She added that all over the world, projects are financed through bond and as such Ogun State would not be different.
She stressed that all the hues and cries in some quarters over the proposed bond, was politically motivated. She said that the economic gains associated with it should not be traded off in the name of politics, adding that with time, the hues and cries would wear off and the people of the State who are the beneficiaries of the bond would be better for it.
"The best way forward is to finance development projects by long term fund. That is what is done all over the world, in Nigeria also and the Federal Government, any where in Africa that is the way. We have entertainment regarding the bond, but there is nobody that is fundamentally disagreeing in terms of the bond as a way forward for Ogun State," Akinbi said.
The Economic Adviser hinted that Daniel was not concerned about himself, but the future generations through opening up the State, bringing in investors and putting in place infrastructure that the people of the State would benefit from throughout their life time. She said in doing so, Daniel would leave unrivalled legacy long after he must have ceased to be the Governor of Ogun State.
One question people of the State continue to ask is: what is the place of small businesses if it is the big ones that are receiving government attention? This class of people is nursing the fears that in the face of big industry, small businesses may not thrive in the State.
Akinbi who allayed the fears of those who share this belief, said "there is no way you can have small business develop, if there are no big industries for them to feed. If you are a small business man, you need to determine what you are producing; there have to be something that you are producing for. If you are making nylon and all that, there has to be industry you are feeding, even in terms of processing the small businesses can help them. So we have to drive big businesses, which are the role of Government."
As the Chinese consortium of companies visit Ogun State this week, and the imminent Memorandum of Understanding on partnership for investment to be signed with government, this may just be the beginning of good things to come to the people of the State if the projects finally come on stream.
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