The call by All Progressives Congress (APC), Nigeria’s ruling party on the federal government to nationalize South African companies operating in country in retaliation for xenophobic attacks on its nationals, is now affecting some of South Africa’s major companies.
Last week, there were reprisal raids by mobs on the offices of MTN in some parts of the country, and stores operated by Shoprite Holdings in the commercial hub of Lagos and the capital, Abuja.
Adams Oshiomhole, chairman, APC, in a television interview over the weekend, called for strong retaliation, especially against MTN, which dominates the mobile phone sector in Nigeria.
He said that “Whereas South Africans continue to benefit from the Nigerian business environment and repatriating billions of dollars, the South African authorities appear jealous of the menial jobs which some Nigerians and other black people are involved in.
“In a moment like this, in order to send a very strong message to South African authorities and South African people, it is worth it for the Nigerian government to take steps to take over the remaining shares of MTN that are owned by South Africans so that MTN becomes fully Nigeria- owned. I think right away Nigerians, in our individual capacities, this is the moment to show our commitment to our citizens and show sympathy to those who have lost their loved ones by boycotting South African goods and South African businesses. Beginning with Nigerians refusing, from today, to use MTN services.”
The APC chairman also named MultiChoice, Standard Bank and Shoprite as companies which should be boycotted or ejected from his country.
MTN Nigeria, at $6bn, is the second most valuable company listed on the Nigerian Stock Exchange (NSE).
The MTN group generates a third of its profit from Nigeria, its biggest single market where it has over 50 million users.
