The Presidential Enabling Business Environment Council (PEBEC) has adopted the National Action Plan 6.0 for the retention of results delivered so far in the Ease of Doing Business reforms in Nigeria. This action plan aims to also attain the top 70 in the World Bank Ease of Doing Business rankings by 2023.
The NAP 6.0 sets to further reduce cost of business registration by simplifying processes and eliminating the need for agents, thereby reducing burdens on MSMEs while at the same time increasing Nigeria’s score in the global ranking. It is also expected to provide improved business environment.
Initiatives under the Ease of Doing Business umbrella include starting a business, dealing with construction permits, getting electricity, registering property, and obtaining credit. Other World Bank Doing Business Indicators include protecting minority investors, paying taxes, trading across borders, enforcing contracts, and resolving insolvency.
The impact of some of these reforms include reducing registration of a company, through online company registration portal, from 10 days to 1 day; elimination of requirements for company seal for business registration; automatic generation of tax identification numbers by the Federal Inland Revenue Service (FIRS); amongst others. In addition, SMEs would be able to use movable assets as collateral for loans such as motor vehicles, machinery, inventory and account receivable and even farm produce. Credit scores would also be made available for borrowers by law.