Best Investment Opportunities In Nigeria – Agriculture, Oil and Gas, Power Sector Etc
Are you a Nigerian looking for an investment opportunity? Are you interested in knowing the businesses you can invest in Nigeria? If yes, then you are on the right page.
If you are interested in investing in Nigeria, I have compiled the top business opportunities that you can go into in Nigeria. Nigeria, a country with undoubtedly the biggest economy in africa is a very productive place to start business.
If you are that person with extra cash and you are looking for a profitable small scale investment opportunity to invest your money in because you don’t want to use it yet, you have to read this post with full attention so you can decide which investment opportunity matches with your heart desire.
There are many investment opportunities in Nigeria that you can invest in. I will be talking about profitable businesses in Nigeria that one can invest in which are:
I guess it is no longer news that Nigeria is endowed with and popular for its different categories of solid minerals ranging from stones and industrial minerals such as gypsum, barites, kaolin, marble to precious metals.
This is an investment opportunity that will continue to thrive and generate money in the country so you investing in this opportunity is not a mistake at all. There are several attractive incentive package put in place for solid minerals investors in Nigeria by the ministry of solid minerals such as:
- 100% foreign ownership of mining companies is provided.
- A tax holiday of three (3) to five (5) years is provided.
- Deferred royalty payments depending on the magnitude of the investment and strategic nature of the project.
- Possible capitalization of expenditure on exploration and surveys.
The agricultural sector in Nigeria is another lucrative investment opportunity for any serious entrepreneur to consider. Investment is seriously needed in the agricultural sector in Nigeria to boost production and enhance its contribution to GDP.
Agriculture is a very large sector that it has sections under it in which you can invest, you cannot invest in agriculture as a whole. The sections under it are:
- Crop production: This section needs investment to achieve food security and also to provide industrial raw materials. The following are the available and major crops in Nigeria: maize, cassava, soya beans, ginger, potato, groundnuts, cocoyam, yam, corn, millet, mango, banana, green pepper, rubber, coconut, cocoa, carrots, oil palm, lettuce, guava, and wheat.
- Agricultural input supplies and machineries.
- Livestock and fishery production.
- Food processing and preservation which involve industries that will use agricultural produce as raw materials among others.
Nigerian Stock Exchange
This is another investment opportunity in Nigeria which you can invest in. You can invest your money into this business through the quoted companies that are listed in the Nigerian stock exchange.
Most of these companies are successful companies that are seeking investment from different people for the sole purpose of becoming stronger and having enough resources to compete against other industries.
You as an investor can become a shareholder in any of these companies by acquiring certain number of shares. The advantage of this investment opportunity is that you will not be involved in the day to day running and competition of the business unless you own a lion share of the company’s total share.
It is certain that at the end of every year, you will earn your return on investment and every other thing you are entitled to. Your return on investment varies from 300%, 500% to 1000%.
Whereas, the end of year of every company varies; some companies’ year end on June 30th, some end on August 31st and so on. As we all know that there is no investment that do not have its risks and faults; it all depends on the investor to overlook the risks for the gains.
Generally, it is possible to lose your money. This applies to all businesses and investments; it is either you succeed or fail. It is possible to even invest in your own business and lose the whole money if you are oblivious to the business world strategies and tactics.
And one thing about stock market is that no one has control over it. Several things such as economic meltdown can affect the stock market negatively which will also affect your investment.
Real Estate Development
This can be said to be less risky than the investment opportunities listed above and this is because the prices of estates and other properties do not come down. This is also a business that thrives well in Nigeria due to the country’s large population, high and increasing demand for land, apartments, offices and shops.
Before investing into this business, it is important that you know that the investment is a long term investment which means that your return on investment isn’t as fast as other sectors. For instance, if you invest ten million into a building in Abuja, you may not get such money back in 6 years.
Importantly, you have to train your mind to see invisible opportunities in order to know what makes a location good.
Do you even know that the richest woman in Nigeria, Mrs. Alakija started her business career with a fashion designing company. This is another industry you can invest in that will sure bring returns for you.
It is your choice; you can either invest in an already established fashion industry or have your own fashion industry where clothes are sewn and people are trained to become fashion designers. This is a business that will continue to be popular considering the fact that people will always wear clothes no matter how hard things are or how poor the economy is.
Also, you can make yourself a brand of a specialist in different forms of uniforms such as school uniforms, club uniforms, hotel uniforms and so on. Being a specialist in the fashion industry is much better and makes more money than just doing everything all together.
There are several other investment opportunities in Nigeria which are:
- Energy Sector
- Poultry farming
- Snail farming
- Palm oil business
- Bakery business
- Transportation business
- Oil and gas sector
BOOMING INVESTMENT OPPORTUNITIES IN NIGERIA
Nigerians love to enjoy life. Opening a bar, guesthouse or restaurant is one cool business to do in Nigeria. Besides, because the economy is booming, a lot of investors and tourists come into the country. You will make a lot of money if you can meet their accommodation needs.
READ: Top 10 Most Profitable Small Businesses To Start
BUILDING HOSTELS FOR STUDENTS
Many wise investors in Nigeria are grabbing up lands very close to tertiary institutions. Constructing private hostels within the vicinity of schools especially those without hostels is a lucrative real estate investment in Nigeria.
INVESTING IN AGRICULTURE
Investing in Agriculture is one sure way to make good money anywhere in the world. The government is trying to diversify the economy so there are many agencies set up to assist local farmers. Fish farming, poultry business and plantation farming are the most popular agribusiness ideas in Nigeria. Other areas to invest in agriculture include cultivating vegetables, livestock feed production and distribution, sales of vaccine and veterinary drugs, farm produce processing etc.
CONSTRUCTING EVENT CENTRES
Choosing popular areas to build event centres in a practical way to make money in Nigeria. Every day of the week especially weekend, people have occasions. Providing them a venue to use, including other facilities such as security and parking space is a lucrative investment idea in Nigeria.
SALES OF BUILDING MATERIALS
There is a respect attached to owning your building in Nigeria. This is why many people try to get a place to themselves instead of remaining tenants for years. If you invest in the sales and distribution of building materials in Nigeria such as cement, PVC, POP, Tiles, Roofing Sheets and Asbestos, Wood, Tie rods, steel rods etc, getting market for your items will not be a problem.
DISCOVER: 10 Businesses In Nigeria That Require Very Little Or No Capital
STARTING AN INTERNET BUSINESS
Many people make money online in Nigeria. The truth is they don’t have to tell you. If you ever doubt that an internet business can replace whatever you make from that salary job, I’m a living witness. Blogging, affiliate and e-mail marketing, providing bulkSMS services, Fiverr, free-lancing are some of the numerous ways to make money online as a Nigeria.
You can invest in any of the businesses listed above and make lots of money out of it. Before investing in any business, it is important that you focus on business education to acquire skills needed for businesses.
Think very well about the business to invest in; weigh the pros and cons of all the businesses to know the best for you and also it is not important to start your investment with 1 million naira; you can still invest even when you do not have up to that.
I hope you have been able to pick one or two ideas to run with from this list of the top profitable investments in Nigeria.