Nigeria stepped up efforts to deepen trade with the rest of Africa in 2025, rolling out targeted regulatory frameworks under the African Continental Free Trade Area (AfCFTA) to lower trade costs, expand market access, and position local businesses to benefit from rising intra-continental commerce as global trade tensions deepened.
A major milestone came in April, when the government gazetted its Provisional Schedule of Tariff Concessions for Trade in Goods, enabling Nigerian exports to qualify for preferential tariffs across AfCFTA member states. The move also allows goods originating from other African countries to receive reduced duties when entering Nigeria, formally activating reciprocal market access under the agreement.
“Nigeria now applies preferential and reduced tariffs on goods originating in Africa,” the Ministry of Industry, Trade and Investment said in its Nigeria AfCFTA Achievement Report 2025, adding that Nigerian-made products would receive “similar preferential treatment” in other AfCFTA state parties that have published their tariff schedules. The report assesses Nigeria’s progress five years into the implementation of the AfCFTA.
The policy shift appears to be paying off. Nigeria’s trade with African countries reached ₦4.82 trillion ($3.1 billion) in the first half of 2025, up by more than ₦600 billion ($386 million) from the same period a year earlier , according to data from the Nigeria Customs Service.
Officials attributed the growth to the ongoing implementation of the AfCFTA agreement, which has helped to drive stronger exports of manufactured goods, agricultural produce, and petroleum products to neighbouring markets, underscoring the initiative’s potential to support industrial expansion and value-added trade.
Established in 2018, the AfCFTA aims to create a single, liberalised continental market to boost intra-African trade and deepen economic integration among its 54 member countries.
Cheaper air cargo corridor lowers logistics costs
To streamline regional merchandise trade, Nigeria also prioritised logistics in 2025
Nigeria launched its first dedicated export air cargo corridor to East and Southern Africa, in partnership with Uganda Airlines and the United Nations Development Programme (UNDP).
Cargo rates on the route are 50% to 75% cheaper than prevailing market prices, a step officials say should improve the competitiveness of Nigerian exports and encourage regional trade flows.
Trade in digital products, services set to expand
Beyond goods trade, Nigeria has begun laying the groundwork for expanded participation in services and digital commerce under the continental pact. In November 2025, authorities approved the AfCFTA Protocol on Digital Trade, introducing regulatory protections for digital products traded across borders.
The framework also commits Nigeria to lower duties for Africa-bound digital goods, with reciprocal treatment for products originating from other AfCFTA member states, a move officials say will support the continent’s growing digital economy.
The West African nation is also advancing plans to liberalise trade in services. The government has approved a Schedule of Specific Commitments for Trade in Services, covering about 90 business segments across priority sectors including business services, communications, financial services, transport, and tourism.
The proposal is awaiting validation by the Economic Community of West African States (ECOWAS) Commission and AfCFTA institutions. The trade ministry said the move reflects tangible progress toward meeting Nigeria’s obligations on progressive services liberalisation under AfCFTA rules.
AfCFTA push gains urgency amid global protectionism
Looking ahead, the ministry said Nigeria plans to deploy digital systems to track goods and services traded under AfCFTA and develop a public repository of market intelligence to help businesses navigate African markets more effectively.
The renewed push comes as global trade faces mounting uncertainty from protectionist policies and tariff disputes triggered the US, reinforcing the need for African nations to deepen regional trade as a pathway to resilient growth.
NB: Nigeria’s average exchange rate for 2025 is pegged at ₦1,554.6 / $1
