KEY POINTS
- Nigeria’s trade balance grew to N6.5 trillion ($3.8 billion) in Q2 2024, driven by strong export performance.
- Vice President Shettima emphasized reducing reliance on oil through non-oil export growth.
- NEPC initiatives are streamlining export logistics to support Nigerian businesses in global markets.
Vice President Kashim Shettima announced Nigeria’s external trade balance reached N6.5 trillion ($3.8 billion) in Q2 2024, crediting the increase to targeted trade facilitation programs. Speaking at the 3rd National Conference on Non-Oil Export in Abuja, Shettima highlighted government efforts to maximize Nigeria’s trade potential.
Organized by the Nigerian Export Promotion Council (NEPC), the event aimed to boost non-oil exports under the theme “Promoting Non-Oil Export for Rapid National Economic Growth.” According to the National Bureau of Statistics, Nigeria’s trade surplus reached N6.95 trillion, primarily due to strong export growth. Exports made up 60.89% of total trade, reaching N19.42 trillion—a 201.76% increase from N6.44 trillion in Q2 2023.
According to a report by The Punch, Shettima emphasized the need to reduce Nigeria’s reliance on oil and gas by boosting non-oil exports. He said, “For Nigeria to improve its trade balance, effective trade policies are essential.” He also noted that Nigeria’s commitment to the African Continental Free Trade Agreement (AfCFTA) opens access to a 1.4 billion-person market. However, he warned that without better regulatory standards, Nigeria risks becoming a dumping ground for low-quality goods.
Focus on non-oil exports and expanding market reach
Shettima explained that strengthening non-oil exports will improve Nigeria’s trade balance and increase integration with the global market. He stressed the importance of supporting micro, small, and medium enterprises (MSMEs) to access international markets. “With an enhanced trade policy, we aim to increase the trade sector’s GDP contribution and Nigeria’s share of global trade,” he added. As global trade is expected to reach $32 trillion by the end of 2024, he challenged Nigeria to capture these economic opportunities for national growth.
NEPC’s initiatives to support exporters and simplify logistics
NEPC Executive Director Nonye Ayeni reported a 6.7% rise in non-oil exports in the first half of 2024. She credited various initiatives aimed at easing export logistics. NEPC has partnered with agencies like Nigeria Customs and the Nigerian Ports Authority to simplify export procedures. The Domestic Export Warehouse, for instance, lets exporters handle all logistics in one place, which minimizes delays. “This one-stop approach reduces costs and helps exporters reach foreign markets more easily,” Ayeni stated, adding that these partnerships improve export efficiency.
With focused trade policies and NEPC’s support, Nigeria is poised to increase its global competitiveness. As non-oil exports grow, Nigeria’s diversified trade base could enhance job creation and economic stability.
