most of these investments, particularly owing to the fact that the sector was ideal for those who did not have experience in doing business in Nigeria and were weary about the complexities involved in investing in manufacturing, trade or farming.
However, the COVID-19 pandemic, which severely affected the lives and livelihoods of millions of people, along with the current fall in oil price is pushing for a massive depreciation of the currency and triggering a spike in inflation. Accordingly, the diaspora community is becoming increasingly aware of the effect this would have on their investment returns, particularly from real estate, and are therefore beginning to turn their backs on the industry.
Explaining the rationale for moving away from real estate investments, Olayinka James, a mamber of the Nigerian diaspora community, and CEO CyberGuard Global Consulting said: “Although there is profit from real estate investments in Nigeria due to the massive population growth, the instability of exchange rate makes it less desirable as an investment vehicle for wealth accumulation.”
“For instance, if you had invested $1 million in real estate about…
