Ease of Doing Business Index: Need to improve standards and boost ranking in Nigeria 

Recent global annual ratings as release by the World Bank ranked Nigeria 131 among 190 economies in the ease of doing business global index, while some stakeholders also gave their projections on the same issue. ADEOLA AKINBOBOLA reports. 

The ease of doing business ratings rank countries based on how the regulatory environment is being conducted in terms of friendly regulations for businesses, stronger protections of property rights by governments among other key variables. 

Nigeria, the most populous nation in Africa after putting in place quality policies to improve standards support as well as create enabling environment for Foreign Direct Investment (FDI) to thrive. However, it improved it rating to 131 in 2019 from its position of 146 in 2018.

To appreciate the significant role played by the Standards Organisation of Nigeria, (SON) to achieve the height in ensuring standards in every sphere of the economy, the federal government recently returned SON to the port several years after being removed along side several government regulatory agencies.

Changing the narratives against all odds 

The reinstatement of SON to the port among several other feats recorded by the grade “A” government standards agency was a reflection of the unique quality and purposeful leadership of the Director-General and Chief Executive Officer, Mallam Farouk Salim who pledged to change the narratives against all odds.

Mallam Salim led administration in the shortest period of his assumption of office has been in the forefront of facilitating businesses to thrive and grow in Nigeria by ensuring that its processes are captured online to enable prospective clients, stakeholders, prospective partners and customers assess most services online without any difficulty.

The Standards Organisation of Nigeria is also known for nurturing the Micro, Small and Medium Scale and Enterprises (MSMEs) over the years through trainings and certification of their products especially those ready for export outside the shores of Nigeria. 

Applying requirements to goods and services

This is by ensuring maximum support to the MSMEs by reducing drastically the costs of standards by half to enable them effectively apply the requirements to whatever goods they produce or services they carry out.

This feat and many others have not gone unnoticed as the organisation recently received an award as the best government agency for showing resilience both in conducts and operation of Ease of Doing Business in Nigeria from the Presidential Enabling Business Environment Council.

The Standards Organisation of Nigeria (SON) was also conferred with an award in the category of “Institution in the Ease of Doing Business in Nigeria” by the National Information Technology Development Agency (NITDA).

Core mandate of SON 

The DG, SON, Mallam Farouk Salim, recently at an award dinner said “the Core mandate of SON is to establish and enforce standards and quality so as to forestall influx of substandard products into the country and also ensure that our industries stay afloat and sustain production from the standpoint of quality assurance.

“The award was an attestation to the hard work and dedication put in by SON staff all across the country to ensure that industries are constantly inspected so that consumer end-products are beneficial to consumers who will drive demand by their use, and with demands, more production and the economy will thrive for the better” he said.

Based on the giant stride recorded by SON in ensuring sanity in the nation’s economy, expectations are that the agency continue to prioritize its key mandate of providing the manufacturing and industrial sectors the requisite standards, quality assurance and technical know-how for the overall benefit of Nigeria.

Accolades from Ministry of Trade and Investment

The Federal Ministry of Trade and Investment commended SON, for coming as the topmost agency in the latest Ease of Doing Business index by the Presidential Enabling Business Environment Council (PEBEC).

In a statement, the Minister of State for Industry, Trade and Investment, Ambassador Mariam Katagum, gave the commendation while declaring open the 2022 SON Strategic Leadership Retreat in Uyo, Akwa Ibom state recently. Katagum, attributed SON’s determination and efforts towards becoming a high performing organisation to the effective deployment of information communication technology (ICT) as part of its collective resolutions at the 2021 Strategic Leadership Retreat.

The minister commended the SON leadership for taking strategic steps and initiatives to re-engineer its processes, expand its structure and galvanize Staff towards making greater contributions to the economic diversification agenda of the Government.

Huge expectations in the area of standardisation 

Katagum reminded the agency of the nation’s huge expectations in the areas of standardisation, conformity assessment, testing and metrology amongst others, in order for Nigerian products and services to be more competitive locally and internationally.

This, according to her is a way for the implementation of the African Continental Free Trade Area Agreement with all the opportunities and potentials it holds for Nigeria in particular.

In his remarks, SON’s boss, Mallam Salim, acknowledged the support and encouragement SON has been receiving from the Ministry, stressing that he looks forward to continuous guidance, drawing from the Ministers’ depth of knowledge and experience in navigating the ship of SON for greater efficiency and effectiveness.

PEBEC ranks SON in the Nigerian business environment

The Presidential Enabling Business Environment Council (PEBEC), also ranked the Nigerian Content Development and Monitoring Board (NCDMB) and SON top in compliance reporting on the implementation of Presidential Executive Order, EO1, on the Promotion of Transparency and Efficiency in the Nigerian Business Environment.

PEBEC in its 2021/2022 Executive Order 001 Compliance Report ranking released yesterday scored NCDMB 81.48 percent with SON, 77.38 percent and Oil & Gas Free Zones Authority, OGFZA, 75.80 percent. 

A statement signed by Dr Jumoke Oduwole, Special Adviser to the President, Ease of Doing Business/PEBEC Secretary, also named the Nigerian Export Promotion Council, NEPC 69.04 percent and Federal Competition and Consumer Protection Commission, FCCPC 68.37 per cent as the top five performing Ministries, Departments and Agencies. MDAs.

Oduwole, noted that this was in keeping with its promise to track the ongoing compliance with the Executive Order on the Promotion of Transparency and Efficiency in the Nigerian Business Environment and to routinely document the impact of the PEBEC reform agenda.  

On May 18, 2017, the Administration issued its first Executive Order, Executive Order 001, EO1 on Transparency and Efficiency in the Business Environment. The Order is designed to strengthen the implementation of business climate reforms and to deepen collaboration among ministries, departments, and agencies by instituting a systemic change management process for reforms.

EO1 mandates on MDAs 

EO1 mandates MDAs to submit monthly reports to the PEBEC Secretariat, the offices of the Head of Service of the Federation, the Secretary to the Government of the Federation, and SERVICOM.

 “Over the last five years, the PEBEC has consistently published an EO1 Compliance Report, which presents an empirical analysis of the monthly reports submitted by MDAs. An MDA’s overall EO1 performance score combines scores on Efficiency and Transparency measures at a ratio of 70 percent and 30 percent respectively. 

Efficiency measures an MDA’s compliance to service delivery timelines, as well as compliance with the Default Approval and One Government directives of the EO1. While Transparency is measured based on the existence of an updated website, an interactive online service portal, a detailed content of services, timelines, costs, statutory requirements, and customer service contact details”.