Nigeria’s Federal Government has announced the signing of a Memorandum of Understanding with Volkswagen of South Africa for the manufacturing of Volkswagen vehicles in Nigeria.
This fact came to light today, Friday, when President Muhammadu Buhari hosted the German Chancellor Angela Merkel at the Presidential Villa, Abuja. The German leader was accompanied by top government officials and a business delegation.
Other Memoranda of Understanding which Nigeria had so far signed are with Petkus Technologies GMBH for the supply of seed and grain processing machines and with German African Business Association on fostering trade and investment by the Nigerian Association of Chambers of Commerce, Industry, Mines and Agriculture.
President Buhari made it clear to his host that all agreements entered into by Nigeria with other countries will be fully respected.
At a bilateral meeting, Buhari stressed that agreements reached in good faith will be followed through to the mutual benefit of countries.
President Buhari told Chancellor Merkel and members of her delegation that the rule of law embodies all the rightful mechanisms for conflict resolution, both within the country, and in dealing with all foreign partners, assuring that his administration remains focused on delivering a peaceful, economically viable and politically stable polity to all Nigerians.
The President said Nigeria remains grateful to the German government for the fair treatment of migrants.
President Buhari said Nigeria looks forward to improving its trade figures with Germany, which had taken strong interest in investing in the country and supporting the government in providing effective services in security, education and creation of jobs.
The President said that his administration instituted reforms in the economy to make it more internationally attractive and business friendly for investors, noting that infrastructure development had been a priority, especially in power supply, road and rail constructions.
He said that the economy is already responding to the diversification reforms and the stimulus of the government as growth is now largely driven by the non-oil sector.
The President said that Nigeria is politically stable, urging German investors to take advantage of the friendly climate.
“I enjoin you to invest in Nigeria because this is the best time to do so,’’ he added.
President Buhari noted that the successful political transitions since 1999 were clear indications of the country’s stability and preparedness to welcome more investments that will bolster the economy.”
Chancellor Merkel responded by saying that Germany is prepared to further strengthen bilateral and business relations with Nigeria, which, according to her, controls 60 per cent of ECOWAS economy.
The German Chancellor said that the population growth and opportunities in the economy can always be explored to improve employment situation in the country.
Chancellor Merkel said that the three Memoranda of Understanding signed during the visit represent a starting point for a healthier and deeper partnership with Nigeria in areas of security, trade, immigration and education.