Today, we want to share something a little bit more direct with you. The idea is for you to make decision and take advantage of the emerging opportunities as you try to follow the money.
So many uncertainties trail this lockdown and what the post-pandemic period will look like.
Though economists predict a recession, we do know that billions of Naira will still change hands.
Despite any recession, some individuals will still make lots money. And while some businesses will fail, some others will win big.
For such businesses, there's no better time to be profitable.
In this mini-series, we are going to be exploring where money is likely going to be concentrated and how to strategically position ourselves to take our own share through investing our time and (or) financial resources.
Even if you haven't a kobo to invest, we will explore ways to still benefit from the coming economic shift.
Following the Money: Where is Government Spending Focused on?
The Situation
The Government, though weak and slow at providing the necessary economic stimulus, has revealed plans to invest in specific sectors through the Central Bank.
These sectors are:
1. Real Estate
2. Renewable energy
3. Education and scientific research
4. Light manufacturing
As usual, the problem with government's investment strategy is transparency.
Except for real estate and renewable energy, it's not quite clear what industries or business categories qualify for investment under educational & scientific research and light manufacturing.
The Opportunity: What's in it for you?
1. Theoretically, the sectors listed above are expected to create more jobs. That's probably some good news for jobseekers. For those in business, they indicate areas for possible investment.
2. There are also loans going to be made available like these:
CBN Guidelines for the Implementation of the NGN50 billion Targeted Credit Facility
CBN NGN3.5 trillion Stimuls Plan
In essence, small businesses can apply for loans of up to three million Naira [N3, 000.000] at extremely low interest rates if certain conditions are met.
3. But what about investments in agriculture, healthcare, education, technology etc? There are definitely still opportunities in these sectors and in the coming days, we'll be exploring them together.
Take Action
The Government has been known to promise and fail. You have to create your own opportunities.
One way to do this is keep a close eye on what sectors are fast-growing and offer a service to that sector even if you don't have the specific skills for that sector (more on this later in the series).
This is a proven path to success (see the California Gold Rush case study).
Alternatively, you could eat the frog and re-train yourself for a sector of interest.
Case Studies
1. Lessons from the California Gold Rush
2. Watch: 15 Assets Making People Rich
4. Government post-COVID-19 investments
Thanks for reading. See you next week.
