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Nigeria’s struggling economy has been dealt another blow as its inefficient ports continue to drive trade volumes to neighboring Benin Republic.

According to Kyari Bukar, former Chairman of the Nigerian Economic Summit Group (NESG), the country’s clumsy bureaucracies and bottlenecks at the Nigeria Customs Service and related agencies like the Nigerian Ports Authority (NPA) are to blame.

He spoke when he featured on Inside Sources with Laolu Akande, a socio-political programme monitored on Channels Television on Friday.

Bukar, the Managing Partner at Trans-Saharan Investment Corporation, revealed that large volumes of international shipments now enter Nigeria through ports in Benin Republic due to their efficiency and lack of bottlenecks.

He emphasized that the Customs should prioritize facilitating trade and economic development over revenue generation, citing corruption and bureaucracy as major obstacles.

The experienced business leader also stressed the importance of fixing Nigeria’s energy sector to boost economic growth. “Electricity should be available because that becomes one of the significant catalysts for economic development,” he said, adding that well-maintained infrastructure such as rails, bridges, roads, and ports is crucial.

Bukar’s concerns are backed by data, as the Port of Cotonou in Benin Republic handled 12.5 million tonnes of goods in 2022, a 5% increase from 2021, and is expected to nearly double to 23 million tonnes by 2038 ¹. Moreover, over 71% of goods passing through the port are destined for Nigeria [5).

The African Continental Free Trade Area (AfCFTA) aims to create a single continental market for goods and services, but Nigeria’s inept ports may cause the country to miss out on potential profits. Bukar warned, “If we say we are open for business, and then you come to the ports and then you are being harassed by six or seven agencies, would you want to do business in that country?”

To address these issues, Bukar advocates for sanctions against those responsible for the inefficiencies at Nigerian ports. “If you want to fix the country, you have to punish any form of malfeasance. When you punish it and show it publicly, human behaviour begins to shape,” he said.

As Nigeria struggles to revamp its economy, it’s clear that reforming its ports and energy sector is crucial to attracting trade and investment. Will the government take heed of Bukar’s warnings and implement much-needed changes? Only time will tell.

ABUJA BUSINESS REPORTS NEWSPAPER & MAGAZINE