The Federal Government has moved to tighten the regulatory framework governing Nigeria’s Special Economic Zones (SEZs), assuring legitimate investors that existing incentives will be protected while loopholes that enable abuse of the Free Zones scheme are being closed.
The Minister of Industry, Trade and Investment, Jumoke Oduwole, gave the assurance as the Special Economic Zones Legislative and Regulatory Reform Committee commenced a dedicated drafting retreat to translate ongoing consultations into revised legislative and regulatory instruments.
The retreat assembled officials from the Ministry of Justice, the Ministry of Industry, Trade and Investment, the Nigeria Export Processing Zones Authority (NEPZA), the Oil and Gas Free Zones Authority (OGFZA), and the Nigeria Customs Service and the Nigeria Revenue Service (NRS).
Oduwole said the reform was not aimed at dismantling the Free Zones regime or withdrawing the incentives that have historically attracted investors to Nigeria. The minister said legitimate incentives, including duty-free importation of capital goods, tax exemption on qualifying export profits, 100 per cent foreign ownership and unrestricted repatriation, would remain central to the framework.
“A Free Zone cannot become an alternative route into the Nigerian domestic market on terms unavailable to manufacturers operating in the Customs Territory.”
