By Merit Ibe
The Organised Private Sector (OPS) has applauded the Federal Government on its decision to halt the implementation of the contentious Expatriate Employment Levy.
Member organizations of the OPS that spoke for the sector included the
Manufacturers Association of Nigeria (MAN), Lagos Chamber of Commerce and Industry (LCCI), and the Centre for the promotion of Private Enterprise (CPPE).
Commending the swift intervention, Director General and Chief Executive Officer of the Manufacturers Association of Nigeria (MAN), Segun Ajayi-Kadir, said MAN had earlier made a representation to Mr President and copied Ministers of Finance and Coordinating Minister of the Economy; Industry, Trade and Investment and Interior , to discontinue the enforcement of the levy and followed up with the aforementioned Ministers.
The MAN boss noted that there is no doubt that the anxiety that enveloped the business community following the introduction of the levy has abated . “Quite importantly, we commend the Minister of Interior for doing the needful in the interest of domestic and foreign private sector investors in Nigeria.
He said the international business community, particularly those with “whom we have signed trade agreements, would also be reassured of our commitment to the creation of a congenial business environment.”
“We acknowledge the important role of the Minister of Industry, Trade and Investment. We equally recognize the support of the Chairman of the Presidential Committee on Fiscal Policy and Tax Reform.”
For the Lagos Chamber of Commerce and Industry (LCCI), the move demonstrates a proactive stance by the government in responding to the concerns of the business community and fostering a conducive environment for economic growth and development which the Chamber advocates for vigorously.
The Chamber viewed the suspension as a positive response to the grave concerns of the private sector as highlighted by the Chamber and other private sector advocacy institutions last week.
“ This act promotes cordial relationship between government and the business community towards a better business environment. We urge the government at all levels to remain sensitive to the concerns of the private sector to enhance the profitability and sustainability of businesses in Nigeria.”
The Centre for the promotion of Private Enterprise (CPPE), urged for strengthening of the institutional and regulatory effectiveness to ensure compliance and enforcement.
The Chief Executive Officer of the centre, Dr Muda Yusuf stressed that there were already extant laws and regulations within the framework of the Nigeria Immigration Act and the Expatriate Quota Handbook that squarely addresses the outcomes contemplated in the EEL.
Applauding the president for his listening ears, Yusuf suggested that what needs to be done differently is to strengthen the institutional and regulatory effectiveness in the Ministry of Interior and the Immigration Service to ensure compliance and enforcement.
He said relevant institutions have over the years been considerably compromised.
He said: “Evidence of regulatory weaknesses are the numerous instances of expatriates operating in the retail sector in the open markets, competing with our market women and men.
“We surely do not lack expertise in retail trading. But we have seen cases of some expatriates taking up shops in our traditional markets. Many of our indigenous traders in the markets have been displaced by these expatriates because they cannot compete with them. There are similar concerns expressed by our indigenous retailers in the computer and electronics, textiles and fabrics, and fashion accessories where expatriates are competing with them at the retail end of the market. Some of these companies dominate the entire value chain – they are the manufacturers, distributors and retailers.”