Stakeholders Call for Enhanced Support for Special Economic Zones Framework
At the 3rd Annual Meeting of Special Economic Zones (SEZ) held on Thursday in Lagos, stakeholders in Free Trade Zones (FTZ) underscored the need to fortify the foundational pillars supporting the SEZ framework.
Nabil Saleh, Chairman of the Nigeria Economic Zones Association (NEZA), emphasized the importance of strengthening policy alignment, sustainable development, and innovation within the SEZ framework. He highlighted the SEZ scheme’s vital role as a driver of economic growth, an innovation hub, and a source of hope for communities across Nigeria.
Saleh stressed the urgency of fostering innovative collaborations and aligning efforts with national and regional development objectives. “As we progress, it’s essential to confront existing challenges, adapt to global trends, and stay committed to the vision of a more industrialized and prosperous Nigeria,” he remarked.
He pointed out that one of the primary challenges facing the SEZ initiative is the inconsistency and lack of a harmonized policy framework. The discrepancies among federal, state, and local regulations often create obstacles that impede the smooth functioning of SEZs. Additionally, overlapping regulatory mandates can result in inefficiencies and increased operational costs for investors.
Saleh urged all stakeholders to reaffirm their dedication to positioning Nigeria’s SEZs as global benchmarks for industrial excellence.
Bamanga Jada, Managing Director of the Oil and Gas Free Zones Authority (OGFZA), praised President Bola Tinubu for his steadfast commitment to attracting and maintaining substantial investments in the various SEZs. He explained that the objective of the oil and gas SEZs is to enhance efficiency through specialization and boost investments in the sector, thereby generating wealth and job opportunities for local communities.
Since the establishment of the first oil and gas free zone in 1996 at Onne/Ikpokiri in Rivers State, the scheme has attracted over $24.6 billion in direct investments. Jada noted that Nigeria has achieved self-sufficiency in specialized and advanced technologies.
In alignment with President Tinubu’s priority initiatives, OGFZA has partnered with investors to set up a CNG conversion center in Onne/Ikpokiri, significantly reducing logistics costs by up to 70% while promoting cleaner fuel alternatives. Furthermore, OGFZA is facilitating the establishment of LPG processing plants in both Onne and Liberty Free Zones, with a combined storage capacity of 70,000 MT. These projects aim to provide access to clean cooking gas for over 200,000 households and promote environmental sustainability.
Dr. Femi Ogunyemi, Managing Director of the Nigeria Economic Processing Zones Authority (NEPZA), highlighted that President Tinubu’s renewed hope agenda has established a solid framework for economic revival. Ogunyemi pointed out that SEZs are crucial economic instruments that can significantly advance five of the President’s eight economic priorities.
Achieving these goals requires a concentrated effort on skill enhancement, industrialization, economic diversification, and export promotion. “Our agenda reflects the complexity and strategic significance of the SEZ ecosystem, addressing critical issues for Nigeria’s economic future,” he stated.
He emphasized the necessity of improved collaboration among government agencies to enhance SEZ operations and provide world-class services. With over three decades of nurturing the SEZ scheme, Ogunyemi asserted that the benefits are beginning to emerge, making it imperative to execute strategic reforms that ensure continued growth while safeguarding existing progress.
Ogunyemi reiterated NEPZA’s commitment to working alongside all stakeholders to develop a robust SEZ ecosystem that positions Nigeria as a frontrunner in industrialization and trade.