Investor's Guide
Introduction | Growth of Commercial Sector Infrastructure |
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Three key facilities are set to improve the commercial landscape in Kwara State ![]() The Internation Aviation College to be completed very soon The college will train pilots of all sorts. International demand for pilots is very high and demand is expected to remain strong. The number of airlines operating in Nigeria has increased exponentially in recent years. The specialist training needed for helicopter piloting (a skill very much in demand in the oil industry in Nigeria) will also be offered. The final state percentage of ownership is intended to rest at 50%, with various private entities holding shares. In this way, the state will recoup some of its investment while at the same time bringing in the expertise of investors and partners. Contracts have been signed with instructors and aviation academy specialists in the United Arab Emirates with regard to the phasing in of classes and the management of the facility. Thirteen instructors have received training in South Africa in preparation for the opening of the college. In a related development, the Nigerian Air Force will establish a maintenance base in Ilorin. Italian company Alenia Aeronautics will manage the project that will be rolled out in the course of 2010. The hangar will be available to private airlines and will contribute to the development of the aviation industry in Kwara State. The maintenance hangar will help to spark developments in associated engineering and commercial fields by creating opportunities for smaller local companies to compete for subcontracts. Retail (shopping mall) Location and extent The site extends over three hectares on Fate Road, Ilorin, in the South Local Government Area. Ownership The Kwara State Government intends to be a 30% shareholder in the project (N500-million, excluding the value of the land], with the balance of equity divided between various private investors. Attractive incentives are in place to make investing in the project worthwhile. The demand for formal retail is strong and good returns are expected. A SPV (Special Purpose Vehicle] will be created where the Kwara State Government and partners will form a company to be called Kwara Mall Develop Centre. Potential tenants Banks, cinemas and supermarkets are in line to be the anchor tenants. Major retailer Shoprite (which has more than 950 stores across Africa] has expressed its intention to participate. Fast food restaurants include Mr Biggs, Chicken Capitol, Chicken Republic and others. Shops will include jewellery, fashion, furniture, household goods and pharmacy outlets. Medical doctors will have their consulting rooms in the mall and there will be medical clinics. Construction and financing Persianas Investment limited is the state government's partner in delivering the N3-billion project. This company was the lead developer in the consortium that built the highly successful Palms project in Lagos. Some of alliances concluded to deliver the entire project are with FCMB, Julius Berger and Chapel & Hill. Facilities The shopping mall will be enclosed with a substantial car park. It will be fully air-conditioned and fully powered up either through PHCN [Power Holding Company of Nigeria) or through an alternative energy source. Projected benefits Increased trade within the state with shoppers no longer travelling to Lagos for monthly shopping. The mall and its tenants will create employment opportunities. The area around the malls expected to experience rapid development, with an attendant spike in property values. The multiplier effect within the city of Ilorin and the state will be high, especially as the per capita income of Kwarans has been rising steadily over the last seven years; the timing of this retail development dovetails well with this general economic trend. Timescale A memorandum of understanding [MOU) has been signed. Construction work was expected to begin in 2010 with completion set for December 2010. The design, costing and financial information phases have all been completed. The state will hand over management of the centre to a professional management company. Logistics (Truck Plaza) ![]() A 90-hectare site is being developed near Ilorin International Airport as a Truck Plaza to take advantage of Kwara State strategic location. Maintenance facilities, fuel depots and accommodation units are planned. A 90-hectare site is being developed near the Ilorin International Airport to centralise and control the through-put of trucks from all parts of Kwara State and beyond. Private developers of every sort associated with the transport, tracking and logistics sectors are sought. Facilities that will be available at the truck plaza
Specific areas of the truck plaza where private-sector investment is required
Firm Foundation for Investment Adequate Infrastructure plays a vital role to any investor looking to start a business. Basic physical and organizational structures are needed for the profitable and efficient operation of any commercial venture. Kwara State has put in considerable effort to improve vital areas such as transport, power generation and distribution, water supply, information and communication technology (ICT) and the provision of healthcare services, to name a few, in order to provide a conducive environment for business. Despite the achievements, the current administration realises that a lot of work still needs to be done to bring its infrastructure up to world standards. Power
![]() Ganmo Power substation In the area of rural electrification, many remote areas and villages have received power, including the 'New Nigerian Farmers' in Shonga. To maintain the leverage that the state currently enjoys, the state government has begun to invest in a transmission and distribution programme. Contracts have already been awarded for the supply and installation of six 15MWA 33/11KV transformers. The state government is willing to provide adequate power supply to any new business investment in the state.
Industrialists Commend Stable Power Supply In Kwara State Airport and cargo terminal
![]() Ilorin International Airport Cargo Terminal The Kwara State Government wants to establish the state as a cargo hub, competing directly with Lagos. More than half the goods arriving in Lagos are not destined for Lagos itself but for the rest of the country. Because of Kwara State's central location, goods can now be directly brought into Ilorin, and trucked to other parts of Nigeria, saving importers time and money. Customs clearance at "Ilorin is also much quicker than Lagos with officials on standby 24 hours a day. During a trial run using a temporary cargo shed, the New Nigeria Farmers at Shonga brought in 800 Jersey cattle from South Africa. The airport has also received a load of cargo from Dubai. One of the state's major industrial concerns, furniture manufacturer Kwara Ethnix Designs, has recently indicated it is working towards exporting goods directly to Europe from Ilorin International Airport, utilising its cargo handling facilities. Roads
![]() A flyover in the center of the state capital has greatly reduced congestion
Financial services Kwara State has numerous banks and financial institutions that are ready to assist investors and businesspeople. Most major banks have branches in Kwara State and investors have access to most bank services. The Kwara Microfinance Bank complements the activities of existing microfinance banks to provide credit to small businesses and cooperative groups. The recent opening of the Ilorin branch of the Nigerian Stock Exchange is evidence of Kwara State's growing importance in the country's financial-services sector. Since the opening of the branch, a number of stock-broking firms have also set up shop in the state. ICT services Most of Nigeria’s main mobile operators have base stations in Kwara State's major cities and many have started to connect the more rural areas of the state. When the New Nigerian Farmers settled in the state, the current administration collaborated with Globacom to provide mobile services to the farms. Although the arrival of mobile telephony has boosted the state's economy and created employment, the administration has called on operators to further improve their services. Businesses can subscribe to Internet access through various service providers and Internet cafes are found across the state. Security Kwara State is proud of the fact that it is one of the most peaceful states in Nigeria. Although the state hosts a wide variety of people with different religions and cultural heritage, there is a sense of mutual respect among the population. To further improve security in the state, the administration has recently installed close-circuit television (CCTV) cameras in the capital Ilorin. New solar-powered street lights have also been introduced to boost security at night. Water supply
Water supply is one of the major challenges facing all of Nigeria's rural areas and Kwara State is no exception. While the region has sufficient water resources to meet the needs of the people, many are still not enjoying the benefits of potable water. Historically, water infrastructure such as waterworks, storage reservoirs, pumps stations and distribution networks has been poorly maintained. The current administration has shown its commitment to turning the situation around by rehabilitating waterworks, drilling new hand-pumped boreholes, installing solar-powered mini-motorised boreholes, improving the pipeline distribution network and purchasing water treatment chemicals. The state government believes water is a major factor in achieving key development objectives especially in the areas of health, education and poverty reduction. It is therefore willing to partner with all stakeholders at national and international levels in meeting this all-important challenge. Irrigation
![]() Modern sprinkler systems installed in Shonga Farm Healthcare Investors in Kwara State will find adequate healthcare services. Being a qualified medical doctor himself, the Kwara State Governor, His Excellency Or Bukola Saraki, is placing a great emphasis on healthcare. Hospitals have been upgraded, drugs have been distributed and modern hospital equipment has been procured. The state is partnering with Medequip Medical Services to construct one of its flagship healthcare facilities - the Central Diagnostic Centre. The facility will provide sophisticated laboratory investigations, pathology and imaging services such as CAT scan and mammography. The centre will not only serve both public and private hospitals in Kwara State but institutions across the entire country. The revenue potential of this initiative, apart from the health benefits, is indeed enormous. One of the other steps that has been taken to improve healthcare is the establishment of an oxygen plant at the Sobi Specialist Hospital. The oxygen produced is important for surgical and emergency procedures. Through the Malaria-Free Kwara programme, insecticide-treated nets and free malaria drugs are being distributed. Ilorin International Airport Cargo Terminal The Cargo Terminal at Ilorin International Airport will provide a huge boost for importers and exporters The Ilorin International Airport Cargo Terminal is a major innovation and a significant factor in the outward-looking policies of the administration of Kwara State. The year 2010 will see this facility in full use. The implications of this modern facility being at full capacity for the state of Kwara and the Federal Republic of Nigeria are expected to be great, as indeed they may be for the whole of West Africa.
The cargo terminal is designed to support the broader economic policies of Kwara State, and in particular the agricultural plans. These take a holistic view of the agricultural cycle, and support primary producers, transporters and companies that add value later in the cycle through processing. The modern
Cargo Terminal supports this comprehensive approach as it allows for the export of fresh produce (because of the cold-storage and wet facilities at the terminal], the export of processed agricultural products (because of the large storage areas] and the import of materials and equipment needed for the support of the agricultural sector. Designed to take the strain off the massively busy airport at Lagos, the Cargo Terminal in Kwara State aims to take advantage of the state's already advantageous, central, position. Good road links south to Lagos connect the state with the most populous region in Nigeria, but crucially link to the central and northern parts of the federation without the congestion associated with the south-western sector. The Cargo Terminal is expected to serve the five other states in the North-Central zone (Niger, Kogi, Nasarawa, Plateau and Benu~) together with all of the states in the North-West zone (Kebbi, Sokoto, Zamfara, Katsina, Kaduna, Kano and Jigawa]. In addition, Kwara is well located in relation to the nation's capital, Abuja. The primary product to be handled out of the new terminal in the first phase will be the agricultural produce of the Shonga farms. This includes dairy products, poultry and cassava. Many other crops have great potential, as does the horticultural sector. Cut flowers are an extremely lucrative market. Now that the Cargo Terminal has up-to-date refrigeration facilities, Kwara State entrepreneurs will be in a position to exploit the fact that the main centres of Europe are within a six-hour flight from lIorin International Airport. The airport is currently accepting and forwarding cargo to South Africa and the United Arab Emirates and will be extending this profile over time. The lIorin International Airport Cargo Terminal will give exporters and importers a competitive advantage, especially as customs officials are destined to be on duty all day and all night. This will significantly reduce time spent on paper-work and allow for the expeditious handling of goods. In the case of the companies exporting time. Cargo Terminal facts Capacity
Wet cargo facilities
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