Nigeria joins AfCFTA.
After over a year of consultations and deliberations, President Muhammadu Buhari’s administration on July 7 finally signed up to the African Continental Free Trade Agreement (AfCFTA). Despite some valid concerns from local industry and ongoing political opposition, Buhari followed the recent recommendations of a government-commissioned committee.
- Over the medium term, Nigerian consumers should benefit from cheaper imports in areas such as the food and beverage sectors.
- The industrial sector will see some reorganisation, with competitive sectors looking to expand their capacity to tap into new markets.
- Several sectors (such as poultry or food processing) will likely undergo productivity enhancing reorganisation amid new competition threats.