In its efforts of exposing business attractiveness of states in Nigeria and Federal Capital Territory (FCT) to local and foreign investors, National Competitiveness Council of Nigeria has released its first National Competitiveness Report and Sub-National Index. The report which ranked all the 36 states as well as FCT, Abuja across four key areas: Human Capital, Infrastructure, Economy and Institutions, indicates that Lagos, Delta and River States have emerged the most competitive states.
Human Capital captures the capacity of the people living there. Human capital measures the skill, knowledge, competencies, and other attributes that facilitate or constrain the productivity of the people.
Infrastructure entails the quality of road infrastructure in states, as well as the associated transport costs for moving people and goods within and beyond the state. It also captures the accessibility and availability of electricity supply, as well as the various issues surrounding the electricity sector. Data were also collected on alternative energy storage and use.
Economy focuses on macroeconomic issues and state government finances. Macroeconomic stability is a key part of growth and competitiveness. Core issues such as exchange rate stability, low inflation, and debt sustainability are a key part of policies that foster the optimum conditions for economic growth.
Institution focuses on institutions. This refers to the rules and norms that govern how society organizes and operates in a particular state.