Nigeria has a record of steady growth and improved political stability. Recent rebasing of Nigeria’s GDP makes it the largest economy and market in Africa and the 26th largest in the world. Nigeria’s annual growth rate averaged 7 percent over the past decade. Almost 40 million Nigerian live in consuming class households and as a result, the country is regarded as one of the fastest growing economies in the world with the GDP in 2015 US$510 billion.
To sustain this annual growth rate, the GON is liberalizing Nigeria’s economy, promoting public-private partnership and encouraging strategic alliances with foreign firms, especially for infrastructure development and technology acquisition in critical sectors such as security, power generation, transportation, and healthcare.
The considerable strides that Nigeria have made in the recent decade have not been fully recognized outside the country, because Nigeria’s security challenges have gained more coverage in the media that its economic successes.
Nigeria is the key driver of international trade in all of West Africa, which consists of sixteen countries. Market analysts from the National Association of Chambers of Commerce, Industry, Mines and Agriculture (NACCIMA) claim that Nigeria accounts for over 40 percent of imports in the sub-region and ranks among Africa’s largest consumer markets.
From farmers to traders, enormous opportunities exist for trade and investment in Africa – this is where EOL Logistics come in. In order to support, increase and maximize productivity, we support the movement, import, export and ultimately trade in and out of the world’s next major economic success story – Africa!
According to Nigeria’s National Bureau of Statistics (NBS) (see http://www.nigerianstat.gov.ng), imports from Asia accounted for 44.6 percent of Nigeria’s imports in 2015, while imports from Europe and the Americas accounted for 33.6 percent and 14.1 percent, respectively. NBS reports a 24.5 percent cumulative decline in imports, more than in 2014, with imports of machinery, boilers, transport equipment, manufactured goods, and commodities dominating Nigeria’s imports from around the world. Exports of crude oil and petroleum products, which accounted for over 99 percent of 2013 exports to the United States, have declined drastically, due to the U.S. shale oil boom, with Nigeria’s exports to Asia (China, India, Japan, and South Korea) accounting for 42 percent of Nigeria’s crude sales in 2014, of which the portion to the United States was only three percent.
Developments in key industry sectors such as Oil and Gas, Power Generation, and Construction indicate that Nigeria offers U.S. exporters significant opportunities. Nigeria ranks as Africa’s largest oil producer and the twelfth largest in the world, producing high-value, low-sulfur content crude oil. A more than six-year-long effort to reform Nigeria’s oil and gas legal framework has created uncertainty that has delayed billions of dollars in potential investment in this sector.