Nigeria, Africa’s largest economy, remains West Africa’s most attractive market despite having to contend with a multitude of challenges that resulted in a poor economic showing last year.

The Nigerian market attractiveness was confirmed by the African Development Bank (AFDB) in a report it published this week. GDP growth and capital investment inflows were listed as the drivers of this attraction.

However, it’s economic performance in 2014 is one the country will want to quickly forget. An award of the worst performing stock market in Africa, owing to a loss more than 20 percent in market cap value, a crashing naira, and shrinking oil revenues forced Nigeria into a temporary state of panic. The coming elections on the other hand, did more harm than good with the massive loss of investor confidence.

Despite this, Nigeria remains the region’s most attractive market, owing largely to a booming young population, the largest in Africa, a robust and diversified economy and a growing mobile space.

It also plays a prominent role in the region’s trading activities. It’s commercial capital, Lagos, serves as a hub not only for transporting goods, but for nurturing West Africa’s financial nerve centre and the largest cluster of internet companies – e-commerce, mobile payments and new media. Also, goods like cement, cassava flour and others coming out of Nigeria serves the critical needs of its neighbours, making it an unavoidable investment destination.

By Peter Oyagbile