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Enugu Ranks Lowest In Ease of Doing Business – PEBEC

by Zaka Khaliq
11 months ago
in Business
enugu
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The Presidential Enabling Business Environment Council (PEBC) in its annual report on Nigeria’s subnational ease of doing business, showed that, Enugu State was one of the worst states in ease of doing business in Nigeria, ranking 36th out of the 36 states and the Federal Capital Territory (FCT), Abuja.
The latest report which was posted on X social media platform (formerly Twitter) showed that this represented a drop of nine steps from the 27th position it posted in the 2021 ranking.

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It was a different performance for Abia State, which moved its ranking from 33rd in 2021 to 21st in the latest ranking, representing a leap upwards of 12 steps and making it the best state in the ease of doing business in the southeast.

Closely following Enugu from the rear in the ranking is Ebonyi State, which dropped from 23rd position to 32nd out of the 36 states.

While Anambra State was unmoved, maintaining the 7th position achieved in 2021, Imo State dropped marginally by two steps, falling from 11th in 2021 to 13th in the latest ranking.

The report evaluates 10 key economic and social indices applied in the ranking, including capital importation, infant mortality, poverty rate, out-of-school children, total public debt, and formal enterprises, among others.

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Enugu, in the report, was mentioned as having a total public debt of more than N146 billion, owes arrears of pensions to retired workers, has more than 70,000 out-of-school children aged six to 15, has only 26,000 formal enterprises, and harbours a total of 2.63 million poor people.

The Subnational Ease of Doing Business (EoDB) Report aims to provide empirical information on the attractiveness of States’ business climates and to serve as a credible reference resource for businesses and investors.

The 2023 report, according to information shared in the document, builds on the inaugural Subnational Baseline Report released in March 2021 and ‘improves it in several areas. including deepening the methodology and enhancing the statistical significance of the survey.’

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The release of the report coincided with an Open Letter written by the candidate of the Labour Party in the 2023 Governorship election in the state, Chijioke Edeoga, who alleged that the excessive tax regime imposed by the state governor, Peter Mbah, was adversely impacting the economy of the state.

Edeoga, in the letter, accused Governor Mbah of taxation without recommendation, among other things, insisting that the excessive tax regime has led to frustration-induced high blood pressure and the flight of businesses away from the state.

Edeoga insisted that the tax regime has resulted in economic hardships, adding that it has also ‘conspired to result in the shutdown of countless small and medium businesses,’ in the state.


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