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Despite the challenging macroeconomic environment in Nigeria, a new report by the Oxford Business Group (OBG) highlights long-term investment opportunities across various sectors in the economy. The Report: Nigeria 2016, which was released at the 22nd Nigerian Economic Summit this week, features interviews with President Muhammadu Buhari; Minister of Finance, Kemi Adeosun; Governor of the Central Bank of Nigeria, Godwin Emefiele; Managing Director of the International Monetary Fund, Christine Lagarde; among many other government officials, top business executives and global leaders.

"As the current government approaches the end of its second year in power, the outlook for Nigeria’s economy remains unclear. Through an expansionary budget and a war on corruption, President Muhammadu Buhari hopes to usher in an era of long-term, inclusive growth. However, lower oil prices and a still fragile global economy will likely pose significant challenges through 2017," the report states.

The OBG’s publication charts the measures being implemented by the government to boost non-oil exports. The government's export drive is aimed at diversifying the economy. Job creation for the youth and social investment are also top priorities for the government. The Central Bank of Nigeria (CBN) adopted a free-float currency regime in June, however, scarcity of foreign exchange continues to put considerable pressure on the naira, with the widening gap between the interbank market and the parallel market rates.

The report focuses on the Buhari administration's ambitious package of reforms – from privatisation measures and anti-corruption campaigns to security assistance – that could help overcome a legacy of poor governance. Apart from making efforts to implement the expansionary 2016 budget of N6.06 trillion ($20 billion), the administration is also offering fiscal incentives for targeted industries, together with a N500 billion ($1.6 billion) Export Stimulation Facility (ESF) being managed by the Nigerian Export-Import Bank (Nexim Bank).

The report also shines a spotlight on non-oil exporters that are delivering strong performances, despite lower overall international sales, such as the vehicle and vehicle parts sector.

In a statement released on Thursday, OBG said Nigeria has long been one of the continent’s sought-after markets and its long-term economic potential still remains, despite the current challenges, ranging from the recession, depreciation of the naira to volatility in the Niger Delta.

“Business leaders who are already aware of Nigeria’s economic potential and abundant resources will note with interest the government’s plans to increase capital spending in the current fiscal year and beyond,” said CEO and Editor-in-Chief, Andrew Jeffreys. “With the creation of jobs and further diversification of the economy both priorities for Nigeria, the opportunities for investors who are prepared to stay for the long haul are considerable.”

OBG’s Managing Editor for Africa, Robert Tashima, also agreed, stating that the country still holds expansive long-term potential in a number of sectors.

“The coming months will require canny navigational skills from investors,” Tashima said. “However, Nigeria continues to offer attractive fundamentals, including a large population, fast-rising consumption and a robust private sector.”

The Report: Nigeria 2016 was produced in partnership with the Nigeria Investment Promotion Commission (NIPC), the Nigerian Economic Summit Group (NESG), Ajumogobia and Okeke, FBN Capital and SIAO Partners.