HC Deb 28 June 1994 vol 245 cc464-5W
Sir Michael Grylls

To ask the President of the Board of Trade what information he has concerning the current level of United Kingdom investment in Nigeria and in the Nigerian oil industry; and what steps he is taking to further the interests of British investors in Nigeria.

Mr. Needham

According to the latest available information, the book value of United Kingdom assets in Nigeria in 1992 was £476 million. The value of United Kingdom investment in the Nigerian oil industry was £324.6 million.

My Department is mounting a series of seminars entitled "Opportunity Africa" in conjunction with chambers of commerce around the United Kingdom which will feature Nigeria. We also plan to publish Nigerian market reports on ports management, power generation, agriculture and mining.

We continue to encourage inward British investment where there is a good prospect of repatriation of profits. There is at present a need for the Nigerian Government to provide an enabling environment for investment.

We continue to lobby for a change in the current Nigerian legislation which limits existing investors to a maximum of 40 per cent. foreign shareholding. Although Nigeria has abolished this restriction for new investors, it has refused to make any changes to the rule for established companies because of political sensitivities.

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