Lai Omotola, the chief executive officer of Confederated Facilitators Limited (CFL) Group, says it will be difficult for President Bola Tinubu to fight business cabals who are working against the interests of the country.
Speaking on Monday during a media parley to mark the 25th anniversary of the firm, Omotola said Nigeria’s economy is not powered by market forces but by market cabals who are bent on keeping the foreign exchange market in crisis.
The business leader noted that the Economic and Financial Crimes Commission (EFCC) has only concentrated on financial crimes since the creation of the agency, while nothing has been done to fight economic crimes.
“In 25 years, we have set up about 27 companies in different sectors of the economy. But I must tell you that a World Bank report says the lifespan of a Nigerian company is five years. We have sustained 25 years. We’ve seen all the crises. We’ve seen the financial crisis, inflation, COVID-19 and now the subsidy crisis. It has been very challenging,” Omotola said.
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“In Nigeria, the government is not pro-business. We pay all our taxes but don’t get the same compliment. The only thing that can keep you in business for 25 years is God and the power that you have, because someone can just come one day and pull down your building. Anything can happen at any time. So, you need that resistance that it’s not going to happen. The chaotic environment is what makes a lot of people run away. But the truth of the matter is that there is hardly any country in the world that has the same profit margin that Nigeria has — in every sector.
“But any economy that is not mobile cannot progress. You need mobility. I should be able to stay in Ibadan and come to Victoria Island for a meeting within one hour and return to my base in two hours. We should be able to provide shelter and feed ourselves.
“The problem we have in Nigeria are the so-called business elites, who have little understanding of the game called business. They have a reversed mentality of what business is all about. The Buhari government expended N1.7 trillion on agriculture, and a bag of rice is still around N45,000 to N60,000 in Nigeria. This is not Buhari’s fault, but that of the businessmen. They collect the money, lie to the government that they have 50 hectares of land somewhere, and divert the money. When it is time for harvest, they will hire people to cause a crisis in the community and declare force majeure.
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“The president has warned the political cabals, but it will be very difficult for him to fight the business cabals, who are the people holding this nation down. I have never seen elite business people that the only business they do is speculate on their currency. That is why the naira is around N1,200 to a dollar. Nigeria’s economy is not powered by market forces. It is powered by market cabals. Rich people in Nigeria will also argue that they cannot leave their money in naira because it will continue to depreciate.
“Our business elites and politicians have held dollars in captivity. If the government pumps $20 billion into the economy today, 80% of the money will enter their hands. They want that gap to continue to exist.”
Omotola said CFL’s next outlook is to partner with the government to generate revenue, adding that the government needs to invest borrowed funds in green fields.
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