A strong judiciary and commitment to the rule of law are essential for drawing in foreign direct investment (FDI), according to Barr. Bashir Maidugu, Senior Special Assistant to the President (Legal, Research, and Compliance).
He stated this while addressing stakeholders at the Nigerian Diaspora Global Network (NiDGN) on Saturday, March 30, 2024.
Maidugu, drawing on decades of experience in economic development and legal frameworks, emphasized the critical interplay between a stable legal environment and investor confidence.
Maidugu highlighted that foreign investors carefully evaluate the legal infrastructure of potential investment destinations. A judiciary that upholds the rule of law without bias or undue influence fosters an environment of predictability and fairness, crucial for business operations. He stressed that a transparent and efficient legal system not only protects investments but also promotes economic growth and development.
He stated that countries with strong judicial systems and a commitment to the rule of law tend to attract higher levels of FDI. “Investors seek assurance that their investments will be protected and disputes resolved fairly. A robust judiciary provides the necessary framework for such assurances.”
Moreover, Maidugu pointed out that a dependable legal system enhances overall governance, reducing corruption and promoting accountability. This, in turn, contributes to an environment conducive to sustainable economic growth and development.
Recognising the significance of Maidugu’s insights, government officials and business leaders present at the address expressed their commitment to strengthening legal institutions and ensuring the rule of law. They acknowledged that a proactive approach to judicial reform and the enforcement of legal protections is essential for attracting and retaining foreign investment.
Maidugu urged governments to prioritise investments in legal infrastructure, including judicial capacity building, legislative reforms, and initiatives to enhance legal education and awareness.
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