ACCI lauds FG’s economic stabilisation plan as Coca-Cola commits $1 bn investment

The Abuja Chamber of Commerce and Industry (ACCI) has commended the Federal Government for its Economic Stabilization Plan, which has begun attracting significant foreign direct investment (FDI) into the country.

According to Adesoji Adesugba, First Deputy President of the ACCI, one notable outcome is the Coca-Cola system’s commitment to inject an additional $1 billion into Nigeria’s beverage and manufacturing sector.

Adesugba, In a statement, signed by Olayemi John-Mensah, ACCI Media/Strategy Officer said that the government’s proactive measures in creating a more conducive business environment, which is now translating into tangible results.

He highlighted that Coca-Cola’s massive investment decision is a clear reflection of the growing investor confidence in Nigeria, driven by the government’s economic reforms.

“The Economic Stabilization Plan of the Federal Government is highly commendable and is already delivering promising outcomes. The Coca-Cola system’s decision to accelerate its investments in Nigeria to $1 billion reflects the positive impact of an enabling business environment,” Adesugba stated.

Adesugba also called on other multinational companies to take advantage of the improved business climate in Nigeria and increase their investment portfolios in various sectors. He stressed that with the right policies in place, the Nigerian economy has the potential to become one of the most attractive investment destinations in Africa.

Coca-Cola Nigeria Limited and its authorized bottler, Nigeria Bottling Company (NBC), announced plans to invest $1bn in Nigeria over the next five years as part of its expansion drive in the country.

The company in 2021 suspended their $1 billion investment target due to adverse economic conditions and high taxes in Nigeria have renewed its investment pledge of $1 billion predicated on a predictable and stable environment.

Bayo Onanuga, special adviser to President Bola Tinubu on information and strategy disclosed in a post on his official X handle on Thursday.

Read also: Coca-Cola eyes expansion in Nigeria through investment

“The company made a similar promise three years ago. But it couldn’t fulfil it because of the challenging business environment prevailing in Nigeria then. As the company’s spokesperson said, while the company made the commitment in 2021, it was also hit by excise taxes.

“Our investment pledges are always predicated on a predictable and stable environment. The $1 billion pledge has now been renewed based on the stable environment, which has been promised through the Tinubu government economic stabilization plan,”

The announcement of a renewed investment was disclosed in a statement also signed by Onanuga at a meeting between the president and the global leadership team of Coca-Cola Company, led by John Murphy, its president.

Zoran Bogdanovic, CEO of Coca-Cola Hellenic Bottling Company, expressed optimism in the Nigerian government policies as a primary determinant of its $1bn investment pledge.

“Since 2013, we have invested $1.5 billion in Nigeria for capacity expansion, transformation of our supply chain infrastructure, and training and development. With a predictable and enabling environment, we are pleased to announce that we plan to invest an additional $1 billion over the next five years,” Bogdanovic said.

In another development, the ACCI also announced the commencement of the 19th Abuja International Trade Fair (AITF), which will take place from Friday, September 20, to October 1, 2024, at the Abuja Trade and Convention Center, Lugbe.

The annual event, one of Nigeria’s most significant multi-sectoral trade platforms, will bring together local and international exhibitors to showcase their products and services, expand into new markets, and forge critical business partnerships.

According to the Chamber, The theme for this year’s fair, “Mobility Options for Transportation, Trade Financing, and Taxation,” will address key business growth challenges, including logistics, supply chain efficiency, sustainable financing, and effective taxation strategies. “The AITF aims to offer practical solutions to help businesses navigate the complexities of today’s global economy while reducing operational costs and improving trade efficiency,”