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–          Customs backs subnational trade diplomacy, says reforms will position country as regional commerce hub

Michael Olugbode in Abuja

Nigeria is gradually returning to an era of stronger regional economies and greater state autonomy, creating unprecedented opportunities for direct foreign investment and economic partnerships with subnational governments, Founder of Global AfriDiplomats, Deji Ajomale-McWord, declared at the weekend.

He said recent reforms in electricity, taxation and local government finances are reversing decades of over-centralisation and empowering states to emerge as independent engines of economic growth, industrialisation and international commerce.

Speaking at the Trade Commissioners’ Summit attended by diplomats, development partners, state officials and business leaders, Ajomale-McWord urged foreign governments, diplomatic missions and international investors to broaden their engagement beyond Abuja and establish direct partnerships with Nigerian states and regions.

According to him, Nigeria’s highly centralised governance structure was rooted in the Unification Decree, Decree No. 34 of May 24, 1966, which abolished the country’s regional system and concentrated legislative powers at the federal level.

Although the military administration that enacted the decree was short-lived, he noted that its legacy still dominates governance structures, with the Constitution assigning 68 items to the Exclusive Legislative List and only 12 to the Concurrent Legislative List, thereby limiting the capacity of states to legislate on strategic sectors such as security, electricity and regional integration.

He argued the arrangement also fostered a culture in which many Nigerians looked almost exclusively to the federal government for solutions, even in areas where state governments have constitutional responsibilities.

Ajomale-McWord recalled how the former Western Region’s cocoa industry, popularly known as “Brown Gold”, and the Northern Region’s famous groundnut pyramids once made the regions powerful centres of economic production and prosperity.

He however maintained that recent policy and legal reforms indicate that Nigeria is steadily returning to a development model in which states and regions become stronger economic drivers.

Among the reforms he highlighted were the National Regional Development Policy (2026-2030), the establishment of additional regional development commissions, the Electricity Act 2023, the proposed Electricity Amendment Bill 2025, tax reforms that improve state revenues and the Supreme Court’s landmark judgment granting financial autonomy to the country’s 774 local government councils.

Describing reliable electricity as indispensable to industrialisation, he said new legal provisions empowering states to generate, transmit and distribute electricity would significantly improve their ability to attract industries and investments.

“Our states are open. Our regions are open,” he declared, adding that commissioners from different states were presenting investment opportunities and development priorities in their jurisdictions to the international community.

He described the initiative as the beginning of sustained engagement between Nigeria’s subnational governments and global partners.

“This is a marathon, not a sprint. We will continue this dialogue and strengthen collaboration in advancing development across Nigerian states,” he said.

Meanwhile, the Nigeria Customs Service threw its weight behind the push for subnational trade diplomacy, saying stronger collaboration among customs administrations, state governments, trade commissioners and development partners was essential to unlocking Nigeria’s economic potential.

Delivering a goodwill message on behalf of the Comptroller-General of Customs, Bashir Adewale Adeniyi, represented by Nuhu Mustapha, the Service described trade as a critical driver of national development, industrialisation, job creation and regional integration.

The Service reaffirmed its commitment to facilitating legitimate trade while safeguarding national interests through reforms aimed at simplifying customs procedures, reducing transaction costs and improving the ease of doing business.

It also highlighted its digital transformation initiatives, including the deployment of the Unified Customs Management System, known as B’Odogwu, implementation of Advance Rulings, the Authorised Economic Operator Programme and the National Single Window initiative.

The Customs Service said it would continue to align its operations with international best practices and the objectives of the African Continental Free Trade Area (AfCFTA), positioning Nigeria to become a leading hub for regional and global commerce.

It further urged stakeholders to forge stronger partnerships that would enhance export competitiveness, facilitate cross-border trade and promote inclusive economic development across Nigeria’s states and regions.