Nigeria’s export volume to Niger Republic has surged significantly in the second quarter of 2024, following the reopening of borders, a decision implemented by President Bola Tinubu in March, amid political tensions caused by the coup in Niger.According to foreign trade data by the National Bureau of Statistics (NBS), Nigeria’s exports to Niger Republic skyrocketed by 204%, climbing from N6.72 billion in Q1 2024 to N20.46 billion in Q2 2024.This marks a major economic shift following the partial shutdown of cross-border trade due to the political unrest in Niger.
Nigeria’s export to Niger Republic Jumps By 204% On Border Reopening
Niger is Nigeria’s 8th largest African export trading partner Niger Republic now ranks as the 8th largest African trading partner for Nigeria, accounting for 0.87% of Nigeria’s total export volume in Q2 2024, up from 0.30% in the previous quarter.The surge in exports can be directly linked to the reopening of borders, which had been closed partly due to security concerns following the coup in Niger that led to regional instability.
The closure, aimed at containing the political crisis and preventing smuggling, had severely curtailed legitimate trade, impacting Nigeria’s export activities in the region.The Q2 2024 data reflects a resurgence in trade, particularly in non-crude oil exports, as Niger’s imports from Nigeria primarily consist of agricultural products, manufactured goods, and other non-oil commodities.
While larger African economies such as South Africa and Ivory Coast rely heavily on Nigerian crude oil, Niger’s economic relationship with Nigeria has been focused on the exchange of diverse goods that cater to local demand.
What you should know
In March, President Tinubu directed the immediate re-opening of Nigeria’s land and air borders with the Republic of Niger. He also directed the lifting of other sanctions against the country with immediate effect. This was according to a statement issued by the former Special Adviser to the President on Media and Publicity, Ajuri Ngelale, on March 13, 2024.
Immediately following the announcement of the border reopening, the Minister of Transportation, Senator Said Ahmed Alkali said that Nigeria secured $1.3 billion in financing to finish a railway line linking Kano, the northern region’s biggest city, with Maradi in Niger.
Senator Said Ahmed Alkali, the Minister of Transportation, revealed this in Abuja, stating that the China Civil Engineering Construction Company (CCECC) will fund 85% of the project, with the remaining 15% coming from the Africa Development Bank (AfDB).
The construction of the Kano-Niger rail project is set to lead to significant displacement, according to a report by Environmental Resources Management (ERM) and EnvAccord Limited. Commissioned by the Africa Finance Corporation (AFC), the report revealed that the project will result in the loss of 12,695 residential houses and 2,064 additional assets across multiple states in northern Nigeria.
