Expert urges manufacturers to tap into $35bn Diaspora remittances

Akinwale Ojomo, chief engagement officer of Diaspora Innovation Institute, has advised Nigerian manufacturers to source foreign exchange needed to import inputs through the $35 billion Diaspora remittances.

Speaking at the Manufacturing and Equipment Expo held last week in Lagos, Ojomo told Nigerian-based manufacturers to begin to track Diaspora remittances to enable them fund their raw materials, machinery and spare parts.

Diaspora remittances into Nigeria in 2016 rose to $35 billion, from $21 billion the following year. Nigerian manufacturers are struggling to get dollars to import inputs. In 2016, 54 factories shut down on the back of their inability to get the green back.

According to Ojomo, some Nigerians in the Diaspora were willing to invest in the country but were still afraid to come back, stressing that foreign exchange would continue to come from abroad.

“There has to be an incentive from the government to attract Disapora remittances,” he said.

Ojomo, who himself lived in the United States of America for long, urged researchers in Nigeria, especially university lecturers, to tap into international research funds to enable them earn foreign exchange.

He further stressed the need to engage Diaspora members and establish partnerships on local technology, pointing out the need for Nigeria to concentrate on areas of comparative advantage.

Chris Bolu, a professor at Covenant University and representative of the Nigerian Society of Engineers (NSE), said it was important for Nigeria to begin to develop local solutions that could be exported to other countries.

“We have a local moi-moi, which we can export abroad. We don’t necessarily need to imitate what is done in the Western World. All we need to do is to resolve problems with local solutions and then export them. Solve a traffic problem in Lagos locally and export it to New York to enable them solve their traffic problem,” he said.

ODINAKA ANUDU