Nigerian President Signs Executive Order
The Nigerian President Muhammadu Buhari, yesterday signed a new Executive Order 007 on Friday, that allows for private companies to fund the construction of major road projects in the six geo-political zones of the country.
This new order is a follow up to the Nigerian Government’s “Road Infrastructure Development and Refurbishment Investment Tax Credit Scheme,” a policy to source alternative funding for infrastructure, including road and electricity projects.
These companies will get tax credit and reductions as renumerations for their efforts.
While signing the order, President Buhari said, “Today’s event marks another milestone in changing the narrative that has dogged past efforts at developing critical road infrastructure nationwide. Pursuant to the Road Infrastructure Development and Refurbishment Investment Tax Credit Scheme, 19 eligible road projects are to be undertaken by six leading manufacturing and construction firms, located in 11 states, and in each of the six geo-political zones.
The Nigerian President Buhari, has admitted that the funding of infrastructure has become a heavy load for the Nigerian government to bear alone,hence the need for this initiative.
He further said that,through this scheme, companies that are willing and able to spend their own funds on constructing roads to their factories or farms will recover their construction costs by paying reduced taxes over a period of time. He stated that the government will ensure complete transparency in these set-off.
“I call on other local and international investors, as well as the state governments, , to embrace this road infrastructure development scheme.
“I personally invite you to submit viable proposals for more road projects, such that, in time, the scope of this initiative will cover all 36 states of the Federation.”