This summary of the enabling environment and government actions to support it reveals the breadth and complexity of factors that analysts and practitioners have identified as important to putting in place the conditions that can enhance productivity and support content development. However, the table also makes clear that government is not the only actor involved in contributing to an enabling environment. As the governance terminology reflects, societal problem-solving, the production of public goods and social capital formation are not the sole purview of government actors.
Factors that Affect Content Development
Businesses thrive when products and services are produced and finished products marketed profitably. This ensures stock movement, as more goods will be produced and hence healthy return on investment. When the volume of sales is large, then more profit could be made, and some of it ploughed back to research. The product of research into indigenous content, affects content development. Thus any factor that limits the production and profitable marketing of finished goods will impact content development not only in ICT industry but also in other industries. Some of these factors are very apparent while some are opaque. I shall try to list some of them here.
a. Inconsistent Policy
b. Lack of Continuity
c. Infrastructure Development
d. Staffing
e. Finance
f. Multiple Taxation
g. Dumping
h. Lack of Transparency in Government
: Nigeria is a largely a government driven economy, so any hiccup in government affects the ICT industry. A case in point is the ongoing tussle over the over the signing into law the 2008 budget. The country is in a state of economic standstill. This negatively affects all sectors of the economy. Also transparency and accountability in all dealings with government reduces the cost of doing business. : Dumping of subsidised and therefore cheap foreign ICT tools impacts the local ICT industry negatively as a level playing field is lacking. : Multiple taxation from all the tiers of government is stifling return on investment and scaring potential investors. The case of MR. BIGGS and Lagos State Government LAASA is a case in point. Collection of advertisement and Signage fees is constitutionally vested on the Local Governments, but LASG Assembly in her wisdom last year passed a new law vesting it on LAASA – presto the fee became convoluted and quadrupled. : Most financial institutions in Nigeria encourage trade financing instead of investing in the productive sector of the economy – hence they tend toward financing LPOs. Manufacturing industries have long gestation period and thus require long term financing which is rarely available. : We are yet to attain e-workforce hence skills of new employees need to be updated as our institutions do not produce products with requisite skills compatible with the knowledge economy. Considerable resource has to be ploughed into equipping them to be functional. : The decay in the infrastructure in the country is mind bugling. We have to sink our own borehole, generate our own power, bear the brunt of impassable roads with the attendant accelerated wear and tear to vehicles, provide our own security, etc. The list is enormous. Under such conditions our products cannot compete in pricing with products from countries where infrastructure is better. : We are all aware of the reversal of some policies of the previous administration. Though we applaud some of them, especially were some of the transactions were done fraudulently in the first place; but a wrong signal has been sent to both local and foreign investors – your investment in this country may not be safe. : A policy an investor considers favourable for particular industry may lead him to raise capital and invest resources into bringing such industry to fruition after a comprehensive feasibility studies. And in Nigeria, this could be expensive as he has to also invest in so many ancillary sectors that are not directly related to the industry. Any policy reversal may put all in the investment in jeopardy. Leading to great loss. Such an investor will need a lot of convincing to ever venture into any project again in the country.Negative Effects of Such Factors
a. Labour
: No need rehashing that the industry needs skilled force. Educational institutions as presently represented cannot produce the manpower needed in the knowledge economy. So resources are expended to skill these staff.We at Zinox are contributing our own quota in this direction. Zinox:
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Has entered into partnership with Kansas State University in the US to streamline the curricula of two departments in the University of Lagos in line with what obtains in the knowledge economy. The partnership also involves the updating of lecturers skills so that they positively impact their students.
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Has under the Computerise Nigeria Initiative, provided ICT tools to teachers and lecturers of institutions of learning at subsidised prices and favourable payment terms.
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Under the Computerise Nigeria Initiative, the Zinox-Student Computer Ownership Project (Z-Scope) project was conceived to catch the work force young. Under it students are encouraged to own and use computers by providing them with subsidised ICT tools at favourable payment terms.
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Has also under the Computerise Nigeria Initiative been impacting the already employed workforce with by also extending ownership of ICT tools at subsidised rates and favourable payment terms.
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All these initiatives of Zinox involves much expenditure of resources, but the most saddening thing is that we are not encouraged by people defaulting after the initial deposit.
to be continued
We are also encouraging professional associations like NBA, NMA, ICAN, etc to encourage their members to own ICT systems under the terms explained above.