Nigeria
Trade Policy Review: Nigeria 2017
“Trade Policy Reviews" analyse the trade policies and practices of each member of the WTO. The reviews consist of three parts: an independent report by the WTO Secretariat a report by the government and the concluding remarks by the Chair of the WTO’s Trade Policy Review Body. The opening section - "key trade facts" - provides a visual overview of the WTO member's major exports/imports main export destinations origins for its imports and other key data. This edition looks into the trade practices of Nigeria.
Report by Nigeria
Since the last trade policy review in 2011 there have been significant changes in Nigeria’s economic and trade policies and in the political environment also. The country recorded a successful transition from one civilian government administration to another through a peaceful democratic election. The economy was re-based in 2013 following which the country emerged as the number one economy in Africa. In 2014 commodity prices collapsed ending the commodity super-cycle. With a 60% drop in revenue the economy entered a recession in 2016. Overall although there are challenges the foundations for structural transformation of the economy have been set with the “Economic Recovery and Growth Plan” (ERGP) a medium-term plan for the period 2017 to 2020. This ERGP was launched by President Buhari on 5 April 2017.
Concluding remarks by the Chairperson of the Trade Policy Review Body
This fifth Trade Policy Review has offered a very useful opportunity for Members to deepen their understanding of the trade policies and practices of Nigeria and to collectively appreciate the challenges it currently faces in sustaining and improving its economic prosperity. I would like to thank the Nigerian delegation led by Ambassador Chiedu Osakwe Trade Adviser of the Federal Ministry of Trade Industry and Investment our discussant Ambassador Yee Woan Tan of Singapore and the more than 45 delegations that took the floor for their valuable contributions.
Report by the WTO Secretariat
Nigeria is the 26th largest economy in the world and the biggest in Africa where it is the leading oil exporter with the largest natural gas reserves. As a result of its 2014 rebasing exercise Nigeria’s GDP almost doubled from US$270 billion in 2013 to US$510 billion in 2014 and its economy has become more services driven (about 61% of GDP in 2016). This GDP increase by about 90% resulted from inter alia re-estimation of the contributions of certain sectors of the economy such as telecommunications entertainment and retail which were previously not captured or underreported; the informal sector was re-estimated to account for about 44% of GDP.
Introduction
The Trade Policy Review Mechanism (TPRM) was first established on a trial basis by the GATT contracting parties in April 1989. The Mechanism became a permanent feature of the World Trade Organization under the Marrakesh Agreement which established the WTO in January 1995.