The Project is a proposal on measures and methods of unlocking investment opportunities in North Eastern Zone of Nigeria

1. Unlocking Financial
Opportunities: A Good Remedy
for Poverty, Poor Health and
Social Disintegration.
MOOC
Final Project
April 2017

2. Background Information
Demography of North East Nigeria (2013):
Households:
• Improved Drinking Water: 50% (Nat Av = 61)
• Improved Sanitation: 18% (Nat Av = 30)
• Children 1-2yrs Vaccination Coverage: 14% (NA= 25%)
• Childhood Mortality (0-5yrs): 81/1000 live births
• Spousal Violence: 21% (Nat Av = 16%)
• Total Fertility Rate: 6.3 (Nat Av = 5.5)
Nat Av or NA is National Average
Ref: NDHS, 2013
https://dhsprogram.com/pubs/pdf/OF23/OF23NE.pdf

3. Getting into Violent Conflict: The Boko
Haram (BK) Group
• An Islamist group that wages war against non-
Muslims, Muslims perceived to be corrupt and the
Nigerian Nation State. Founded in 2002 but gained
reputation in 2011
• Preaches that western education is corrupt and
forbidden for all believers.
• Intends to declare a prototype Islamic state as first
step and take over Nigeria or Africa for strict
adherence to its strict tenets.

4. Major Activities from 2011
• Killing with guns, beheading and explosives
• Burning Churches
• Burning Public Buildings
• Kidnapping of foreigners
• Suicide bombing
• Declaration of affiliations (Al Queda in the Magreb
and later to the ISIL/ISIS/IS).
• Taking human hostages
• Arson, looting, Pillaging and armed robbery
• Causing huge refuges and Internally displaced
persons.
• Fracture of social life and enterprises
• Poverty, Food crises and Ill health.
• 270 High school girls were seized by BK from Chibok

5. The Caliphate of BK in 2014

6. Current Status of North Eastern Nigeria
• The BK group have been seriously diminished
• Gorilla techniques used more than conventional
warfare.
• Lost almost all territories
• Retains the capacity and capability to hit soft
targets

7. Numbers killed by BK 2011-2016
Year in Focus Numbers Killed References
• 2011 145 CNN, 2016.
http://edition.cnn.com/2014/06/09/world/boko-haram-fast-facts/
• 2012 200 CNN, 2016.
http://edition.cnn.com/2014/06/09/world/boko-haram-fast-facts/
• 2013 393 CNN, 2016.
http://edition.cnn.com/2014/06/09/world/boko-haram-fast-facts/
• 2014 867 CNN, 2016.
http://edition.cnn.com/2014/06/09/world/boko-haram-fast-facts/
• 2015 4,780 The Cable, 2016.
https://www.thecable.ng/path-of-a-ruthless-killer-all-boko-haram-
deaths-in-2015)
• 2016 550 ACLED, 2017.
http://www.crisis.acleddata.com/nigeria-january-2017-update/

8. Investments Opportunities
• Poverty Eradication: Entrepreneurship
• Health and Education for Human
capital development
• Social Cohesion and Integration
through the rule of law and solution
driven community participatory efforts

9. Poverty Eradication: Entrepreneurship
• Concessionary Loans from MDBs to be considered
• Micro-Small-Medium Scale- Enterprises (MSMEs)
should be given priority over vanity ventures and white
elephant projects
• MSME put money directly in hands of so many at the
same time, hence become the seed-corn
• Income increases purchasing power/removes poverty.
• Huge informal sector pulled into the tax net shall
empower government to attend to foundational issues
like infrastructures (Physical, Social & Electronic) that
promote entrepreneurships further.
• Poverty maps to be developed to make interventions
more target specific.

10. Health and Education for Human capital development
• IDA to consider adequate ODA for universal primary
education and universal vaccination for children.
• Adequate and regular capacity building for
implementers.
• Concessionary or regular loans by domestic banks,
portfolio managers, education and health bonds,
insurance etc to be made available for private sector
initiatives in this domain.
• Serial Impact assessment, Benefit incidence analysis
and key performance indicators are very necessary.
•

11. Social Cohesion and Integration through
the rule of law and solution-driven
community participatory efforts
• The rule of law should hold supreme and
irrevocability of court orders and rulings
• Security to lives and property
• Sports and recreation, excursions, healthy
competition as factors of social integration
• Involvement of communities and gatekeepers in
decision making on community based projects
• Community Policing and Reforms

12. Key Actors and Roles
• Stakeholders’ matrix
• Typology of fund providers
• Innovation

13. Stakeholders’ Matrix
Financial
Institution
s
Govern
ment of
Nigeria
Private
Sector
Initiatives
Civil
Society
Organizat
ion
Academi
a
Internati
onal
Observer
s
Communi
ty gate
keepers
Others
MDBs, Federal Investors NGO Tertiary
Institutio
ns
ECOWAS Emirs Arms
dealers
Domestic
Banks
state AU Village
Heads
Ordinary
Citizens
Stockbrok
ers/Insura
nce
Local
Govern
Entrepren
eurs
CBO UNO Heads of
Social
Groups
Anti
Terrorism
Finance
Enforcers
Portfolio
&
Pensions
Managers
Commun
ity Dev
Associati
on
FBO Heads of
Professio
nal
groups
Anti
Money
Laundry
Enforcers
Heads of
Youth
and
Law
enforcem
ent

14. Typology of Fund Sources
Domestic International
Banks MDBs
Stockbrokers/Insurance firms Investors
Bond Operators Private placement/Regular
loans providers
Portfolio/Pension Schemes
Managers
Risk Managers/Instrument
Providers
Diaspora/Remittances
Government Budgets Grants/Donor community
Corporate Social
Responsibility (CRS)

15. Innovation
• Blended Financing
• Mobilization of funds
• Catalytic funding
• Mixed methods
• May also be the deployment of old tools such as
grants, equity, concessionary loans, regular loans
and guarantees in a new way that meets the
needs of the investor, the project and the
beneficiaries.
• Prioritizing social profits along financial profits
and loan repayment for project to be bankable

16. Conclusions
A geographic zone like North East Nigeria in violent
conflict should be given innovate special purpose
vehicles to meet development needs. Therefore:
Government to
• Provide Stable micro economic environment
• Reform of Tax policy, regime and administration to be
in cinq with domestic reality in the region.
• Provide Blended finance
• Develop different PPP models that may meet the
needs of specific private investors
• Provide enabling laws for business to thrive