October - December 2017 •
The Lion King
• 9
BUSINESS
restructure domestic and foreign bor-
rowing mix in 2018 to 60-40 respec-
tively, fixed income securities are still
expected to be a major attraction
for local and foreign investors alike.
Considering that they are classified
as low risk investment with reasonably
high yields, investment in government
fixed income securities is considered
an excellent choice for discerning
investors. As a licenced Primary Dealer
Market Maker, UBA is positioned to
offer these products to interested cus-
tomers at best market prices.
Agricultural Produce:
Nearly one-third of all employed
Nigerians work in the agricultural sec-
tor, which is the country’s main for-
eign exchange earner after crude
oil. The recent crash in international
crude prices which eventually led to
the massive devaluation of the naira,
coupled with the current stance of
the Federal government on importa-
tion of items such as rice and other
food crops has created the opportu-
nity for local farmers to produce food
crops in larger quantities. The govern-
ment is aggressively promoting local
food production through its recent
policies. For instance, there is oppor-
tunity for farmers to participate in the
Federal Government National Home
Grown School Feeding Programme
(NHGSFP). Recently, the CBN added
tomato farmers to the beneficiaries
of its Anchor Borrowers Program,
enabling them access low interest
loans as a cooperative. The Increased
local production of food crops will
help breach the yawning demand
gap that has been created by the
foreign exchange crisis. Another huge
attraction for this high yielding invest-
ment opportunity is the various value
chain options available to discerning
investors. For instance, local farmers
continue to face challenges like stor-
age, preservation and transportation.
Investing to provide solutions to these
problems by building refrigerated
storage facilities and renting haul-
age trucks can be highly rewarding if
well managed. According to experts,
yields from agricultural produce, e.g.
onions, edible oils, especially with
value chain considerations can be as
high as 200%!
Fashion and Entertainment:
Over the last decade, African fashion
has begun to make global impact
with known international celebri-
ties like Beyonce, Solange Knowles,
