Overview

The Nigerian Investment Promotion Commission Act (CAP. N117) establishes the Nigerian Investment Promotion Commission (NIPC) to encourage, promote, and coordinate investments in the Nigerian economy. The Act, effective from 16th January 1995, outlines the Commission's structure, functions, and powers. Part I establishes the Commission as a corporate body with perpetual succession and a Governing Council responsible for its management. The Council includes a chairman appointed by the President, representatives from key federal ministries (Industry, Commerce, Internal Affairs, Finance, Foreign Affairs, Culture and Tourism, Petroleum Resources), the National Planning Commission, the Governor of the Central Bank of Nigeria, six private sector members appointed by the President on the Minister's recommendation, and the Commission's Secretary. Members serve four-year terms, renewable once. Part II details the Commission's functions: promoting investments, advising the government on investment policy, collecting and disseminating investment information, assisting investors, and registering enterprises. Its powers include acquiring property, forming companies, and entering contracts. Part III covers staff provisions, including the Secretary as chief executive, other staff appointments, staff regulations, conditions of service, pensions, and departmental structure. Part IV addresses financial provisions: the Commission's fund sources (government allocations, gifts, fees, etc.), borrowing power with Ministerial approval, annual estimates and audits, and annual reports to the Minister. Part V contains core investment provisions: Section 17 lists enterprises eligible for participation (excluding those on a negative list for national security); Section 18 states the Act applies to foreign investments but permits restrictions via other laws; Section 19 allows any person to establish an enterprise under Nigerian law; Section 20 requires registration with the Commission; Section 21 permits foreign companies to purchase shares of domestic companies; Section 22 offers incentives for priority investments; Section 23 defines priority areas (expanded by the Minister); Section 24 guarantees unconditional transfer of capital, profits, and dividends in convertible currency; Section 25 guarantees against expropriation without prompt compensation; Section 26 provides dispute settlement via negotiation, local laws, or international arbitration (e.g., ICSID); Section 27 mandates Commission assistance to enterprises; Section 28 contains transitional provisions for existing investments; Section 29 repeals the Industrial Development (Coordination) Committee Act; Section 30 empowers the Minister to make regulations; Section 31 provides interpretation; Section 32 gives the short title. The Schedule includes supplementary provisions on Council proceedings, meetings, committees, and conflict of interest.

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