Dr. Ngozi Okonjo-Iweala, Director-General of WTO Photo: Premium Times

Nigeria’s trade costs too high for trade-oriented investments: Okonjo-Iweala

*Dr. Ngozi Okonjo-Iweala, Director-General of the World Trade Organisation, suggests a lower trade cost from the factory or farm gate to the final consumer be adopted in order to attract trade-oriented investments into the West African country

Alexander Davis | ConsumerConnect

Expressing concerns over the pressing need to negotiate an agreement on investment facilitation for Nigeria at the global trade body, Dr. Ngozi Okonjo-Iweala, Director-General of the World Trade Organisation (WTO), has outlined measures by which the country could resuscitate the economy and facilitate international investment.

ConsumerConnect gathered Dr. Okonjo-Iweala, who spoke virtually, on the second day of the Mid-Term Ministerial Performance Review in the Presidential Villa, in Abuja, FCT, stated that trade cost is too high in Nigeria, and this needs to be reduced to enhance investments.

President Muhammadu Buhari (2nd right) and other top government functionaries at the Mid-Term Ministerial Performance Review in the Presidential Villa, in Abuja, FCT

She noted that such charges include infrastructural costs, linkage costs, regulatory costs, customs costs, and basically, all costs associated with moving goods from the factory or farm gate to the final consumer in the country’s economy.

The WTO Director-General suggested that a lower trade cost from the factory or farm gate to the final consumer be adopted in order to attract trade-oriented investments into the West African country.

She said: “Improving security and lowering transactions for foreign and domestic investments would be necessary.”

According Okonjo-Iweala, Nigeria is part of a group of countries negotiating an agreement on investment facilitation at the WTO, which when negotiated and implemented, could be instrumental in attracting additional trade-oriented investments into the country.

The Director-General added: “To complete investment facilitation, Nigeria has to cut down on trade costs.

“Infrastructural costs, linkage costs, regulatory costs, customs costs, basically all costs associated with moving goods from the factory or farm gate to the final consumer. Nigeria’s trade costs are too high.”

Kindly Share This Story