Fashola: Government must lure investors into sports development via tax credits

Babatunde Fashola, former minister of works and housing, says governments can attract local businesses to invest in sports development through stimulations such as tax credits. 

Fashola spoke on Sunday while delivering a keynote address at the launch of an autobiography by Mumini Alao, the veteran Nigerian sports journalist, held at the University of Lagos (UNILAG).

The former minister said sports development is the solution “hiding in plain sight” to Nigeria’s youth unemployment situation.

He added that “about 40 million micro, small and medium enterprises in Nigeria” and fiscal policies like tax cuts, duty waivers could be leveraged to encourage these businesses to invest in sports development.

“This is a large asset, and each state where they are situated can stimulate them to invest based on fiscal policies like tax credits or tax holidays,” Fashola said.

“Ownership of these businesses can be attracted to invest into existing clubs – for advertising and broadcast rights, for example.”

He added that governments across all levels must embrace the solution for desired change.

“The federal, state and local governments have many roles to play in a collaborative and enabling way,” Fashola said.

“For example, fiscal and monetary policy tools such as tax credits, import and customs duties and concessions designed to stimulate investment in sports for construction, equipment and sponsorship will be needed.”

‘IT’S TIME FOR STATE-OWNED FOOTBALL CLUBS TO BE PRIVATISED’ 

Fashola said state governments must look to privatise their local football clubs to ensure business-minded administration of these institutions.

Ahead of the 2025/26 Nigeria Premier Football League (NPFL) season, only four of the 20 clubs are privately owned. Eighty percent of the teams are state-owned.

The former minister said the privatisation process must not be “for self-serving purposes but to real business and sports-minded concerns and supporters who will have corporate governance and be subject to audits and company laws”.

Other dignitaries at the Alao’s book launch include Shehu Dikko, chairman of the National Sports Commission (NSC); John Enoh, minister of state for industry; Gbenga Elegbeleye, chairman of the NPFL board; and Segun Odegbami, former Nigerian international.

More photos from the book launch below: