The Democratic Front (TDF) has described J.P. Morgan’s decision to expand its operations in Nigeria as a reflection of the work the administration of President Bola Tinubu is doing to improve the economy.
In a statement by its Chairman, Mallam Danjuma Muhammad and Secretary, Chief Wale Adedayo, the group argued that the largest commercial and investment bank in the US would never have extended its footprint in the country if it did not see the viability of the economy.
It said: “The decision by J P Morgan, which currently ranks as the largest commercial and investment bank in the US, to broaden its investment in Nigeria is a major lift for the economy. We also see it as a significant development in the government’s bid to attract Foreign Direct Investment (FDI) into the country.
“We welcome and celebrate it as an investment breakthrough because it validates President Bola Ahmed Tinubu’s business-friendly economic reforms and policies. It is also an indication of a global acknowledgement and acceptability of the reforms.
“This is because it is common knowledge that international investors consider macroeconomic stability, exchange-rate risks, regulatory predictability, corporate governance and the quality of investment opportunities before committing funds to any country.
“So it is against this backdrop that we see this move by JP Morgan as a win for the Tinubu administration.
TDF also pointed out the bank’s formal entry into the country could trigger an influx from other leading global banking entities.
“The benefits of having a global merchant bank like J P Morgan in Nigeria’s economy are many. We are sure that other foreign investors will take a cue and follow J P Morgan to Nigeria.
“And in addition to stabilising the naira, it will provide catalytic capital, global market access, and promote international investors’ confidence in the Nigerian economy.
“We consider JP Morgan’s decision to operate in Nigeria as a stamp of approval of credibility and credit rating for the economy in recent years, another remarkable achievement of President Tinubu’s economic reforms.
“In view of the improvement in ease of doing business under President Tinubu, J P Morgan’s presence in Nigeria is bound to trigger a flurry of dollars and foreign currency liquidity into the economy by consolidating the current stability in foreign exchange rates, and ensuring that trade flourishes in the country’s investment ecosystem.
“We are indeed confident that the entrance of J P Morgan into Nigeria’s financial sector would facilitate trading by creating access to surplus credit, enhance local exporters’ and importers’ ability to do foreign exchange transactions for international trade, raise professional standards for local banks, create high-paying jobs, introduce competitive innovation in the use of modern technology in financial transactions, and also expose local bankers to global banking practices.”
The group also urged Nigerians to remain resolute in their collective support for President Tinubu’s administration.
