Nigerians spend over N310bn on Dubai vacation

Three-hundred-thousand Nigerians spent about N310 billion on vacation in Dubai, the United Arab Emirates (UAE), in December, 2014, more than the annual budgets of a majority of the states in Nigeria. BusinessWorld Intelligence reveals that they spent about N60 billion on flights, N9 billion on visas, N120 billion on accommodations and N110 billion on shopping.

A source in The First Group, Dubai’s leading property developer, disclosed that a renowned businessman from Kano, in northern Nigeria, acquired a seven-unit property worth N2.7 billion in December last year alone. He made a down payment of 30 per cent of the cost, while the rest would be spread over a 12-month period.

The influx of Nigerians into Dubai during the vacation was said to have been occasioned by the current adverse weather condition in the United Kingdom and other parts of Europe, as well as the United States of America, which prevented many of them from travelling to those places. The easy access to Dubai’s travelling documents also created opportunities for Nigerians to visit the UAE.

Mr. Ibrahim Auwalu, Nigeria’s ambassador to the UAE, said recently that trade between both countries was informal, in spite of the cordial relations between them. “The trade volume is big because a lot of Nigerians visit Dubai regularly for shopping,” he said. “But about 99 per cent of this trade is informal.” He also said Nigerians spend more than $110 million (N18 billion) annually on UAE visas.

Auwalu said the mission was currently negotiating investment promotion and protection agreement between the two countries, and expressed dissatisfaction that at the moment, trade favours UAE more than Nigeria. He said when signed, the agreement would correct the imbalance and encourage foreign direct investments in Nigeria. “Once we sign the agreement, it will open up the Nigerian economy for more investments from companies in the UAE,” Auwalu said, adding that several UAE companies have expressed readiness to invest in renewable energy, agriculture, mining and real estate in Nigeria.

The Arab country has become the destination for rich Nigerians interested in acquiring choice properties. They are currently the second largest property owners in Dubai, after Indians.

Now home to The First Group’s global headquarters, Dubai is the main location for the company’s diverse property portfolio, which also encompasses the wider United Arab Emirates. The company has made it its business to build iconic hotels, offering individual investors the opportunity to profit from purchasing hotel rooms and suites.
A notable property consultant in Lagos describes as discouraging a situation in which Nigerians spend billions of naira on acquisition of property as well as relaxation in other parts of the world, while the Nigerian economy suffers.

He, however, blames the development on lack of conduciveness of the Nigerian environment to investment. He advised the government to show more commitment to making Nigeria more investment- friendly, and warned that more Nigerians would continue to travel to the UAE for investment and leisure, as long as that country offered better opportunities.

Mr. Ibrahim Auwalu, Nigeria’s ambassador to the UAE, said recently that trade between both countries was informal, in spite of the cordial relations between them. “The trade volume is big because a lot of Nigerians visit Dubai regularly for shopping,” he said. “But about 99 per cent of this trade is informal.” He also said Nigerians spend more than $110 million (N18 billion) annually on UAE visas.

Auwalu said the mission was currently negotiating investment promotion and protection agreement between the two countries, and expressed dissatisfaction that at the moment, trade favours UAE more than Nigeria. He said when signed, the agreement would correct the imbalance and encourage foreign direct investments in Nigeria. “Once we sign the agreement, it will open up the Nigerian economy for more investments from companies in the UAE,” Auwalu said, adding that several UAE companies have expressed readiness to invest in renewable energy, agriculture, mining and real estate in Nigeria.

The Arab country has become the destination for rich Nigerians interested in acquiring choice properties. They are currently the second largest property owners in Dubai, after Indians.

Now home to The First Group’s global headquarters, Dubai is the main location for the company’s diverse property portfolio, which also encompasses the wider United Arab Emirates. The company has made it its business to build iconic hotels, offering individual investors the opportunity to profit from purchasing hotel rooms and suites.
A notable property consultant in Lagos describes as discouraging a situation in which Nigerians spend billions of naira on acquisition of property as well as relaxation in other parts of the world, while the Nigerian economy suffers.

He, however, blames the development on lack of conduciveness of the Nigerian environment to investment. He advised the government to show more commitment to making Nigeria more investment- friendly, and warned that more Nigerians would continue to travel to the UAE for investment and leisure, as long as that country offered better opportunities.

This originally appeared in Businessworldng news