LEGIT
A recent wave has swept some multinational companies in Nigeria out of the country due to the toxic environment for business.
This is worsened by the removal of fuel subsidy, which further toughened the ease of doing business in the country.
From fast-moving consumer goods (FMCG) companies to energy and pharmaceutical companies, the inability to repatriate funds in Nigeria and the unpredictable local currency against foreign currencies has triggered multinationals to bid the country goodbye.
The most recent case is Procter & Gamble, which announced it would dissolve on-ground operations in the country during its presentation at the Morgan Stanley Global Consumer and Retail conference.
The company clarified that its most recent strategic choice resulted from the macroeconomic realities in Nigeria and that it was challenging for an organisation denominated in dollars to conduct business in the country.
Unilever
Earlier this year, one of the leading consumer goods companies, Unilever Nigeria Plc, announced plan to stop manufacturing some of its popular products, including Omo and Lux, in Nigeria.
The manufacturer said it will exit two categories, Home Care and Skin Cleansing, which will affect the brands mentioned earlier.
Other brands affected are Sunlight, Dove Beauty Bar, Lux soap, Pepsodent Toothpaste, vaseline, Lifebuoy, and Rexona products, amongst many others.
Unilever also noted that the new model would reduce exposure to devaluation and currency liquidity.
GSK Plc
GlaxoSmithKline (GSK), a British healthcare and multinational biotech firm, also announced plans to leave Nigeria after 51 years of operations. The company said in a statement seen by Legit.ng disclosed its plans to cease the commercialisation of its top medicines and vaccines in the country via GSK local operating companies and move to a third-party direct distribution model.
