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Africa Plant: Policy inconsistency, forex may force Tecno to dump Nigeria for Egypt
Indications have emerged revealing that Egypt remains first in the mind of Transsion Holdings, marketers of Tecno products as it plans to establish a multibillion manufacturing plant in Africa.
Whereas the company agrees that Nigeria remains the best market with population and even matching purchasing power and observed uptakes in new devices, the company’s Vice President, Andy Yan, told journalists that “The most important thing for foreign investor is the stability of government policy, but the challenges we are facing is sometimes when we make decision to invest in whatever project, next thing is that there will be a change in policy and thereby interrupting us.
“And another major challenge we encounter is forex fluctuation.” Yan stated.
Yan revealed that Transsion Holdings is seriously considering making Lagos an industry hub due to its market size but decries the challenges foreign investors face in doing business in Nigeria.
He noted unstable government policies and fluctuations in forex market as some of the challenges hobbling investment in the country.
He therefore solicited for more stable environment for investors adding that Nigeria with its market size has provided a huge market for the organization.
According to him, “Investors, most importantly, must have a stable environment and policies to do businesses. “Where there is no continuity as regards policies and business relationship, businesses will be affected.
Business Hilights recalls that mid last year, Microsoft made a U-Turn and relocated its earlier promoted $30bn data centre investment from Nigeria to South Africa citing poor infrastructure and lack of needed manpower to manage the facility on delivery.