Business environment in Nigeria is in a very poor state. In the latest World Economic Forum (WEF) rankings for global competitiveness in doing business, the country ranks at a very low point.
Nigeria ranks 127 out of 138 countries considered in the Global Competitiveness Index, according to report.
All the countries that rank below Nigeria in the index are war-torn and crisis ridden.
In 2015, Nigeria ranked 124 on the index. For some reasons, it was easier to do business in Nigeria in 2015 than it is now.
WEF blames the lack of competitiveness in doing business in Nigeria on poor infrastructure, poor health and primary education, and poor higher education and training.
*(WEF global competitiveness chart for Nigeria 2015)
Nigeria’s strongest advantage on the index is its market size, according to the WEF report.
‘Although still relatively low, the government deficit has almost doubled since last year and national savings has significantly suffered, worsening the current account position,’ WEF said.
‘Banks are less solid, reducing the availability of credit. Despite the central bank ending its currency peg, financial authorities have retained restrictions on access to interbank market, meaning access to finance will remain difficult for many businesses.’