The Lagos Chamber of Commerce and Industry (LCCI) has bemoaned the decision by GlaxoSmithKline to shut down its operations in the country after over five decades.

GSK Nigeria, last week, announced plans to shut down its operations in the country. The company, which primary activities include marketing and distribution of consumer healthcare and pharmaceutical products, said that its parent company, GSK Plc UK, had revealed its intent to cease commercialisation of its prescription medicines and vaccines through its Nigerian subsidiary.

LCCI, in a statement by its Director General, Dr Chinyere Almona, said the decision was one of the many multinational firms had had to make in recent years with their adverse effects on the economy.

She noted that despite presenting international businesses with the largest market in the continent, Nigeria still suffered from worrying economic slow-down decisions like the shutting down of operations, which were often provoked by the rising cost of doing business exposed by the epileptic power supply and weak infrastructural backing, amongst others.

Dr Almona said, "With justification, the chamber is concerned that if the trend persists, the nation's economic growth potential will not be realized. GlaxoSmithKline's decision critically reflects on the nation's poor ranking on the ease of business measures, which the Chamber has constantly spoken about. It is time the government takes appropriate actions to reverse the saddening trends in the business clime in Africa's largest market."

While noting that factor cost, as an integral element of the profit equation, is viewed with utmost seriousness by businesspeople, the statement stressed that in the face of rising costs, businesspeople will likely search for cost-friendlier locations.

The statement reads further: "The chamber is inclined to suggest the government takes a holistic view/review of the business environment and take steps to make the nation's business clime more competitive for growth."