The World Bank has identified inadequate electric power supply as the biggest problem facing Nigeria’s private sector operators.
According to its study titled: The Nigerian Private Sector and its Challenges, presented by its Specialist, Finance and Private Sector, Mr. Michael Wong, in Abuja, yesterday, the two other worst problems of confronting businesses are corruption and access to finance.
He said: “Nigerian managers of formal firms were most likely to report electricity, corruption and access to finance as serious obstacles to business performance. Firms in Nigeria are significantly more affected by power outages than firms in comparator countries. Nigerian firm managers reported that losses due to power outages were approximately 17 per cent of sales. Firms in Lagos and other Southern states reported the highest losses- equivalent to more than 20 per cent of sales. Firms in Northern states rank political instability among the biggest constraint.”
The report berated “the drive to shore up Internally Generated Revenue of the last Lagos State government under Mr. Babatunde Fashola as an impediment to operational growth by companies that responded in the study.”