Nigeria and the United Arab Emirates (UAE) have concluded a Comprehensive Economic Partnership Agreement (CEPA) aimed at deepening bilateral trade relations and unlocking new investment flows. Signed on the sidelines of Abu Dhabi Sustainability Week, the agreement forms part of a broader strategy to strengthen African trade, modernize logistics in Africa, and further integrate Nigeria into global value chains.
A Structuring Economic Partnership Between Africa and the Middle East
Described by President Bola Ahmed Tinubu as a “historic and strategic milestone,” the agreement marks a new phase of cooperation between Africa’s largest economy and one of the Middle East’s most influential economic hubs.
The partnership establishes a structured framework to expand cross-border trade and improve the movement of goods, services, and capital, reinforcing Nigeria’s positioning as a regional hub for transport in Africa and international commerce.
Logistics, Transport, and Supply Chains at the Core of the Agreement
A Catalyst for Modernizing African Supply Chains
The agreement covers a wide range of strategic sectors, including:
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logistics in Africa and the development of African logistics infrastructure,
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air transport in Africa, with prospects for the resumption of Emirates Airline flights to Abuja,
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maritime transport in Africa and the optimization of key trade corridors,
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agriculture, digital trade, and climate-aligned infrastructure.
According to Nigeria’s Minister of Trade, Jumoke Oduwole, the agreement will provide Nigerian businesses with access to a strategic Middle Eastern hub, serving as a gateway to global markets. This is expected to strengthen import-export flows in Africa and improve supply chain management in Africa.
Boosting the Competitiveness of African Transport and Trade
By enhancing logistics and transport capacity, the partnership aims to reduce transaction costs, improve trade efficiency, and strengthen the performance of African logistics corridors. Nigeria seeks to consolidate its role as a regional trade and distribution hub in West Africa.
President Tinubu highlighted that ongoing economic reforms have already delivered tangible results, including:
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a 21% increase in non-oil exports,
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more than USD 50 billion in investment commitments across key sectors.
Energy Transition, Transport Infrastructure, and Climate Finance
Positioning Climate Action as an Engine of Economic Growth
The agreement places strong emphasis on energy transition, viewed by Nigeria as a catalyst for enhancing transport in Africa and strengthening the African supply chain. The country has launched a Climate and Green Industrialization Investment Playbook, targeting USD 25–30 billion per year in climate and green industrial finance.
Key initiatives include:
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a USD 500 million distributed renewable energy fund,
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a 50 billion-naira sovereign green bond, which was significantly oversubscribed,
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the implementation of the Electricity Act 2023, enabling decentralized power supply to support industrial and logistics activities.
Innovation, Aviation, and Digital Trade Development
Nigeria is also seeking deeper cooperation with the UAE in advanced technologies, including:
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artificial intelligence applied to energy and transport infrastructure,
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improved efficiency of transport and logistics systems,
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digital trade platforms supporting cross-border commerce.
These areas are critical to strengthening logistics expertise platforms for African enterprises and enhancing Nigeria’s integration into global value chains.
Investopia Lagos: Turning Investor Interest into Commitments
As part of the deepening bilateral ties, Nigeria and the UAE will co-host Investopia in Lagos in February, bringing together global investors, policymakers, and businesses. The platform aims to convert growing investor interest into concrete investment commitments, particularly in transport, logistics, energy transition, and industrial development.
A High-Impact Agreement for Africa’s Trade and Logistics Ecosystem
The Nigeria–UAE economic agreement highlights the growing importance of South–South partnerships in advancing African trade. By placing logistics in Africa, transport in Africa, and African supply chains at the center of its strategy, Nigeria is strengthening its role as a regional hub and a key driver of economic integration across the continent.
For investors and stakeholders in transport and logistics, the agreement opens new opportunities in one of Africa’s most dynamic markets, at the intersection of African, Middle Eastern, and global trade flows.
