Nigeria’s trade balance of N6.5 trillion showed Tinubu’s policy yielding result--VP Shettima

Vice President Kashim Shettima says the federal government’s ongoing efforts to strengthen the country’s trade sector are showing promising results, as Nigeria recorded a N6.5 trillion trade balance in the second quarter of 2024.

Mr Shettima, represented by George Akume, Secretary to the Government of the Federation (SGF), said this at the third National Conference on Non-oil Export on Tuesday in Abuja.

The conference was organised by the Nigerian Export Promotion Council (NEPC) and was themed “Promoting Non-Oil Export for Rapid National Economic Growth”.

The vice president said the recently implemented trade policy aimed to increase the non-oil sector’s contribution to gross domestic product (GDP) and enhance Nigeria’s position in global trade.

“For Nigeria to improve its balance of trade, there is a need to ensure the effective implementation of the country’s trade policy.

“With the policy, we intend to substantially increase the contribution of the trade sector to GDP and increase Nigeria’s share of global trade.

“It is encouraging to state here that the country’s total external trade recorded a favourable trade balance of N6.5 trillion in the second quarter of 2024,” he said.

He said exports accounted for 60.89 per cent of total trade, which amounted to N19.42 trillion.

The vice president said it represented a marginal increase of 1.31 per cent compared to N19.17 trillion in the first quarter and a 201.76 per cent rise over N6.44 trillion in the second quarter of 2023.

Mr Shettima expressed the government’s commitment to diversifying the economy and reducing its dependence on oil.

He also reiterated the commitment to streamlining regulatory frameworks to improve the ease of doing business for micro, small, and medium enterprises (MSMEs).

While reiterating the importance for Nigeria to seize the opportunities provided by the African Continental Free Trade Agreement (AfCFTA), Mr Shettima cautioned against the country being a dumping ground.

He called for public and private action to address challenges in maximising Nigeria’s trade potential.

Earlier, the executive director of NEPC, Nonye Ayeni, attributed the growth of Nigeria’s non-oil export earnings to Mr Tinubu’s policy strides.

According to Ms Ayeni, the country’s non-oil export earnings increased by 6.26 per cent in the first half of 2024, reaching $2.7 billion.

“Under the Renewed Hope Agenda of President Bola Tinubu, significant strides have been made towards diversifying the Nigerian economy away from oil.

“This is reflected in the 6.26 per cent increase in Nigeria’s non-oil export earnings, which amounts to $2.7 billion in the first half of 2024,” Ms Ayeni said.

She said the growth was made possible by the concerted efforts of various stakeholders, the NEPC, and the administration’s commitment to driving industrialisation, digitisation, and manufacturing as part of its broader economic reform agenda.

The NEPC boss said the country’s vast resources, both human and natural, had immense potential to contribute to Nigeria’s economic growth through non-oil exports.

The conference, which explored opportunities for expanding Nigeria’s non-oil export base, brought together policymakers, industry leaders, and export stakeholders.