Nigeria port overhaul trade growth drive as government invests $1bn in upgrades, digital systems and reforms to boost AfCFTA competitiveness

The Managing Director of the Nigerian Ports Authority, Dr Abubakar Dantsoho, warned that Nigeria’s maritime sector is underperforming despite its economic dominance in West Africa, as the federal government intensifies a sweeping reform programme aimed at transforming the country’s port system.

Also read: BoI signs strategic partnership framework deal with German Int’l Agency to accelerate MSME growth

The Nigeria port overhaul trade growth agenda comes as Nigeria, which accounts for over 60 per cent of West Africa’s GDP, handles only about 25 per cent of regional cargo traffic due to persistent congestion, infrastructure gaps, and operational inefficiencies.

Dantsoho described the imbalance as a clear signal that Nigeria has yet to fully optimise its maritime potential, stressing that efficiency has now become more important than geographical advantage in determining trade leadership under the African Continental Free Trade Area (AfCFTA).

He spoke during a stakeholder forum in Lagos, where he outlined ongoing reforms designed to reposition Nigeria as a leading logistics hub in Africa.

At the heart of the initiative is a bold federal government push under President Bola Tinubu to modernise port infrastructure, expand capacity, and strengthen the country’s blue economy architecture.

The reform programme includes a $1 billion investment approved by the House of Representatives for the rehabilitation of the Lagos Port Complex and Tin Can Island Port, alongside broader upgrades across Warri, Port Harcourt, Onne, and Calabar ports.

The government has also begun developing deep seaports in key coastal states, including Bayelsa, Cross River, Akwa Ibom, and Ondo, to ease congestion and accommodate larger vessels.

A major component of the strategy is digital transformation, with the introduction of the Port Community System and National Single Window aimed at reducing delays, improving transparency, and cutting clearance times.

These reforms are expected to significantly enhance operational efficiency and reduce the cost of doing business within Nigeria’s maritime sector.

Dantsoho noted that private sector participation is also being encouraged to bridge funding gaps and accelerate infrastructure delivery.

He added that improved security, including more than four years without piracy incidents, has strengthened investor confidence in the sector.

Despite progress, challenges such as infrastructure deficits, bureaucratic bottlenecks, and inland logistics constraints remain key concerns that could affect long-term success.

Also read: Issues in President Tinubu’s UK state visit

However, officials insist that sustained reforms could reposition Nigeria as a dominant maritime hub in West Africa and unlock significant economic value under AfCFTA.