Guardian

WORRIED by the increasing number of non-nationals, especially Asians, in the retail segment of the economy, the Lagos Chamber of Commerce and Industry (LCCI), has called on government to revisit its protectionist policy in order to protect existing jobs within the distributive trade sector.

Besides, the chamber also tasked the Federal Government on the need to address the issue of economic diversification as part of measures to address the gloomy outlook of the economy and the growing concerns in the global oil market.

In a communique issued at the end of its meeting recently, the chamber noted that the increasing number of expartriates in the retail segment of the economy is beginning to have a negative impact on the economy, especially in terms of employment generation.

The communique read in part: “Council noted with concern the increasing number of non-nationals, especially Asians, in the retail segment of the economy, especially the open markets. This has resulted in the gradual crowding out of indigenous enterprises in the Distributive Trade Sector. Council therefore calls on the appropriate agencies of Government to quickly address the problem in order to protect existing jobs in the sector.

“Council reiterated the need to diversify the economy in the light of the unfolding scenario of declining prices of crude oil globally and the challenges confronting local production. Council noted that the economy as currently structured is very vulnerable to external shocks. All these create a gloomy revenue outlook for Government which is a major cause for concern.”

The chamber noted that one of the factors to be addressed in diversifying the economy, is the creation of an enabling environment that will enhance productivity and efficiency in the non-oil sector of the economy.

The chamber however commended the initiative of Dangote Group to build a 400,000 barrels per day capacity crude oil refinery, adjudging it as a profound demonstration of commitment to the industrialisation and economic self-reliance by the Dangote Group.

It therefore urged the National Assembly to accelerate the consideration of the Petroleum Industry Bill (P.I.B) in order to make such and similar investments profitable and sustainable.

In terms of access to credit and provision of infrastructure, the chamber expressed concern about the difficulty many businesses encounter in accessing credit, due to high interest rates and the persistent tightening of Monetary Policy.

The chamber decried such actions to be in conflict with the desire to stimulate the economy and create jobs, while expressing its desire to see, in the short term, the SMEs lending framework recently promised by the Nigerian Bankers Committee.

“The state of the roads leading to the ports has now become a major factor in ports congestion which has implications for cost of cargo clearance at the ports. The Federal Government needs to pay urgent attention to the nations ports and gate way roads.

“Council noted the persistent delays in the clearing of cargo arising from valuation Most often the Customs Intelligence Unit would query the valuation of a cargo even when the Valuation Unit of the Customs had endorsed the cargo for release. There are also many instances where cargoes are delayed for re-examination at the exit gate. All these practices predispose the processes to corruption. Council therefore urges the Customs High Command to address this concern.

“Council commended the ongoing remodeling and rehabilitation of the airports nationwide. These would enhance Nigeria’s image, perception and serve travelers the better. The economy would benefit greatly from the good first impression that the new look airports would create. Meanwhile, the council admonished the aviation authorities to rid the airports of touts.

“Council commended the recent proclamation of state of emergency by the president as a bold step towards tackling the problem of insurgency in some parts of the country. In the near term, the chamber hopes to see improved business activity in the affected states after restoring security and confidence”, the chamber added.