The United Kingdom has called on Nigeria to accelerate its economic reforms by tackling market-distorting practices, especially those tied to state-owned enterprises, which hinder trade and investment.
Key Highlights
– Call for Reforms: Simon Manley, the UK’s Permanent Representative to the WTO, stressed the need for deeper reforms during Nigeria’s Trade Policy Review in Geneva.
– State-Owned Enterprises (SOEs): A 2022 WTO report noted that around 40 Nigerian SOEs, especially in the energy sector, engage in practices that stifle competition and deter private investment.
– Challenges to Businesses: British firms in Nigeria cited issues like harmful subsidies, forced technology transfers, and regulatory complexities as barriers to trade and investment.
– Economic Progress: Manley commended Nigeria’s strides in removing fuel subsidies and monetary policy adjustments, while highlighting trade diversification in manufacturing and agriculture.
The UK emphasized that eliminating harmful practices by state-owned enterprises would enhance Nigeria’s investment climate, boost trade, and foster long-term prosperity. The UK-Nigeria Strategic Partnership aims to further strengthen trade ties and address barriers to mutual growth.
These reforms, alongside infrastructure investments, could position Nigeria as a more attractive destination for foreign direct investment and accelerate its economic diversification efforts.
