Nigeria loses $1.5bn to elections postponement ― LCCI

The Lagos Chamber of Commerce and Industry (LCCI) has said that the election postponement by the Independent National Electoral Commission (INEC) has cost the nation’s economy about $1.5bn loss.

Speaking to the Tribune Online exclusively, Director General of the LCCI, Muda Yusuf said that the nations maritime sector also suffered horrendous loss due to the election postponement.

According to Mr. Muda Yusuf, “the postponement of the elections has caused very serious disruptions to the nation’s economy and businesses. Many investors have lost a lot of money, and the loss to the economy due to the postponement cannot be less than 1.5bn US Dollars.

“Talking about the maritime sector of the economy, which is a very critical sector, what has happened would have cost, not just those who are directly involved in the sector billions of money, but also importers and businesses who normally get their raw materials through the ports.

“Due to the election which led to early closure of work at the ports, many businesses would have suffered delays in their efforts to clear their cargoes, which could lead also to delay in getting raw materials to factories.

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“And don’t forget that a lot of importers borrow money for importation businesses. As long as delays like this happen, interests accrue on borrowed funds.

“So there is the interest cost, delay in production processes, delays in business cycles because once there is disruption along the business chain, it affects the entire scope of business. It affects how businesses are able to turn around their capital.

“There is also an implication for jobs. So many of the workers in the ports earn their income daily. For every hour that there is no business, the workers don’t get paid. The loss is quite horrendous on the maritime sector side and the economy as a whole.”