By Oladosu Adebola Oluwaseun
The Speaker of the House of Representatives, Rt. Hon. Abbas Tajudeen, Ph.D., GCON, has voiced serious concerns over the significant impediments within Nigeria’s import and export chain, particularly in the maritime sector. He lamented the substantial revenue losses Nigeria is incurring to neighboring West African countries due to these administrative hurdles at the borders.
Speaking during a meeting on Wednesday with a delegation from the Presidential Enabling Business Environment Council (PEBEC) at his office, Speaker Abbas assured the council of the House’s commitment to addressing the reforms they are seeking. This includes crucial matters concerning the enforcement of the Financial Reporting Council of Nigeria (FRCN) Act and the implications of the Tax Reform Bills for investors operating within Free Trade Zones.
Speaker Abbas expressed his disappointment, stating, “I feel really sad that we in Nigeria, in some areas, are conducting our affairs in a manner that is out of sync. Even from our neighbors here in West Africa, I am hearing consistent complaints regarding customs bureaucracy and the protracted clearance processes. Furthermore, concerns are being raised about the shipping industry and the port regulatory authorities, with significant delays in service provision. Consequently, the costs associated with importing goods into Nigeria are, in some instances, doubling the duty collected in our neighboring countries.”
He emphasized the urgency of the situation, asserting, “I believe these are critical and major areas that your agency (PEBEC) urgently needs to address. There is a considerable amount that can be achieved by thoroughly examining our regulatory bodies, especially those responsible for facilitating international businesses and trade. The aim should be to identify and implement measures that will make the Nigerian business environment significantly more competitive.”Speaker Abbas raised a red flag regarding alarming reports indicating that international shipping lines are increasingly avoiding Nigeria as a destination. He cited concerning data suggesting that over 75 percent of imported goods offloaded in the Republic of Benin are ultimately destined for Nigerian markets, highlighting the extent of the diversion due to inefficiencies in Nigeria’s port system.
Drawing from recent diplomatic engagements, Speaker Abbas recalled his recent visit to Morocco, where officials from the North African nation also voiced criticisms regarding the bureaucratic complexities and delays prevalent in the import and export processes between Nigeria and Morocco.Underscoring the mutual benefits of streamlining the shipping system for both the Nigerian government and foreign investors, Speaker Abbas assured the PEBEC delegation that the House of Representatives would give their concerns due consideration and that “we will take action immediately.”
The Speaker acknowledged the timeliness of PEBEC’s presentation, coinciding with the recent constitution of a Conference Committee by both the Senate and the House of Representatives to harmonize their respective versions of the Tax Reform Bills. He announced that the House would extend an invitation to both PEBEC and the chairman of the Conference Committee to review their proposals, ensuring that their insights are integrated into the final legislation.Speaker Abbas specifically emphasized that these reviews would be conducted with the aim of ensuring Nigeria honors previous agreements established with foreign investors operating within the Free Trade Zones, providing a stable and predictable investment climate.He affirmed PEBEC’s strategic engagement with the House, stating, “You (PEBEC) have come to the right place. This is the House where we have been actively reforming our operational procedures from the very beginning of this Assembly. This commitment to reform is precisely why our Legislative Agenda stands as the most comprehensive and effective working document ever crafted in the history of our parliament.
”Acknowledging the multitude of challenges facing various Ministries, Departments, and Agencies (MDAs), Speaker Abbas commended PEBEC for recognizing the House of Representatives as a crucial partner in addressing and resolving these issues.
He revealed that his office receives daily complaints from the private sector and foreign investors detailing the numerous bottlenecks encountered across various facets of the nation’s economic activity.Speaker Abbas lauded PEBEC for its proactive role in monitoring the performance of MDAs in their efforts to create a more enabling environment for businesses operating within the country. He recognized the existing business environment as challenging and acknowledged the wide range of concerns, noting that “every sector and every agency has issues that beg for attention.
”Reiterating the House’s unwavering commitment to supporting PEBEC’s mandate, Speaker Abbas stated, “I want to assure you on behalf of all the members that we are ready and willing to do everything humanly possible to support you so that you can succeed.”
Speaker Abbas also expressed his positive impression of the youthful composition of the PEBEC delegation, noting his excitement at seeing a significant number of members under the age of 40 driving these critical reforms.Earlier in the meeting, the Director-General of PEBEC, Princess Zara Mustapha Audu, conveyed that the visit to the Speaker was on behalf of the Vice-President, Senator Kashim Shettima, GCON, who serves as the chairman of PEBEC.
She informed the Speaker that PEBEC currently oversees the activities of 69 MDAs with mandates directly impacting the nation’s economy.
Presenting a formal letter from the Office of the Vice-President to Speaker Abbas, Princess Audu specifically requested the legislative intervention of the House regarding the Financial Reporting Council of Nigeria (FRCN). She highlighted significant resistance and pushback within the economic environment concerning the implementation of the new FRCN Act, particularly noting a current impasse between the FRCN and operators in the private sector.
