Shettima: FG to Review Regulatory Frameworks to Boost Ease of Doing Business for MSMEs

James Emejo in Abuja

Vice President Kashim Shettima, yesterday, said the federal government aims to strengthen and reform all regulatory frameworks that will not just facilitate seamless trade but also enhance the ease of doing business, particularly for Micro, Small and Medium Entrepreneurs (MSMEs) in the country.

He said this was to maximise huge economic opportunities offered by the mere exchange of goods and services in the global trade which is estimated to reach $32 trillion by the end of 2024.

The vice president spoke at the opening of the 3rd National Conference on Non-oil Export, themed, “Promoting Non-oil Export for Rapid National Economic Growth,” which was organised by the Nigerian Export Promotion Council (NEPC) in Abuja.

He said as a signatory to the African Continental Free Trade Agreement (AfCFTA) boosting about 1.4 billion markets, there is need for relevant stakeholders both from the public and Organized Private Sector (OPS) to proffer solutions to the myriads of challenges that are likely to inhibit Nigerian entrepreneurs from maximising the opportunities offered by agreement.

Shettima said: “We cannot afford to be a dumping ground for all sorts of goods. At the end of the conference, I expect these issues to be addressed and a communique issued.”

He said the present administration will not relent on its on-going fiscal reforms, adding it intended to rigorously pursue the economic policies already put in place to reignite economic growth, social welfare improvements and thereby improve the living standards of Nigerians.

Highlighting some of the achievements from policy reforms, he said farmers are being incentivised to increase food production, including removal of tariffs on essential imports such as rice, wheat, sorghum, maize, drugs, and other pharmaceuticals and medical supplies, as well as distribution of fertilizers to farmers with a target to cultivate 10 million hectares of arable land and provision of N1 million Micro and Small business loan to 75, 000 beneficiaries to support MSMEs.  

He said for the country to improve its balance of trade, there was a need to ensure the effective implementation of the country’s trade policy which seeks to substantially increase the contribution of the trade sector to GDP and increase Nigeria’s share of global trade.
Shettima said: “It is cheering to state here that the country’s total external trade recorded a favourable trade balance of N6.5 trillion in the second quarter of the year 2024. Of this sum, exports accounted for 60.89 per cent of total trade which amounted to N19.42 trillion, representing a marginal increase of 1.31 per cent compared to N19.17 trillion in Q1 2024, and a 201.76 per cent rise over N6.44 trillion in Q2 2023.

“Having said that, the diversification of the economy remains a top priority of this administration. It will reduce the over-dependence of the national economy on oil and gas by promoting the export of value-added manufactured products.

“As we strive to develop a flourishing domestic market that is competitive and fully integrated into the global economy, this administration remains resolute in its quest to position the country as a strong economic force by formulating policies and adopting measures that will promote and increase patronage of Made-in-Nigeria products, enhance market access, increase the competitiveness of the country’s product in the international market and thereby boost job creation and reduce unemployment.”

He stressed that as a signatory to several trade agreements, the country will continue to dialogue on improving and strengthening trade and investment opportunities as enshrined in the numerous bilateral and multilateral trade agreements between Nigeria and other countries.

The VP pointed out that Nigeria has bilateral investment agreements with about 31 countries, aside been a member of the World Trade Organisation (WTO), General Agreement on Tariffs and Trade (GATT), AfCFTA, African Growth and Opportunity Act (AGOA), and indeed a founding member of the ECOWAS.

He urged the participants to key into the Renewed Hope agenda of the present administration by making positive contributions to the overall growth of the economy adding that this will no “doubt strengthen our collective will for nation-building”.

However, in her remarks, Ayeni said the current state of the economy offered a golden opportunity to diversify the productive base of the country through non-oil export, noting that this was evident from the giant steps taken by the administration through the Renewed Hope agenda towards the development and diversification of the economy which directly impacts on the non-oil export sector.

She said the 6.26 per cent increase in Nigeria’s non-oil export earnings representing the sum of $2.7 billion in the first half of 2024 could be attributed to Tinubu’s policy strides and the strategic achievement of NEPC’s “Operation Double Your Export’ mantra and concerted efforts by strategic stakeholders.

The NEPC boss said: “This is a clear sign of the positive impact on the economy of the steps taken by the Mr. President and his Team. To consolidate on these gains, we want to emphasize the importance of our collective vision.

“We must work together to foster a supportive environment for non-oil exports. This includes investing in infrastructure, enhancing trade policies, and empowering our local businesses to compete in the global market.

“Our flagship initiative ‘Operation Double Your Export’ is not only to increase exports but also to create jobs, boost innovation, and enhance our overall economic resilience.

“We believe this is what the conference seeks to achieve by providing a veritable platform for ventilating ideas on current and emerging issues affecting non-oil exports and to provide a roadmap that will help stimulate an increase in non-oil exports, and thereby diversify the country’s revenue base away from oil for sustainable economic and inclusive growth.”

She said: “The path to a diversified economy is not without its challenges, but together, we can navigate these waters.

“The future is bright for non-oil exports, and I am excited about the potential that lies ahead. Let us seize this opportunity to build a sustainable and prosperous future for our nation.”