The United Kingdom and Nigeria have entered an Enhanced Trade and Investment Partnership (ETIP), marking the first such agreement between the UK and African nations.
The deal aims to strengthen the existing trade relationship, valued at £7 billion, and create new business opportunities in both countries.
The UK Minister for Trade and Business, Kemi Badenoch, and Nigerian Trade Minister Doris Nkiruka Uzoka-Anite signed the ETIP in Abuja on Tuesday.
The partnership is anticipated to unlock growth in key sectors, including finance, legal services, and the creative industry.
It also sets the stage for collaboration on the UK’s Developing Countries Trading Scheme (DCTS), introduced last year to provide more favourable trading terms for Nigeria and 36 other African nations.
Nigeria is expected to benefit significantly from the DCTS, with tariff reductions on over 3,000 products, resulting in 99% of existing Nigerian exports to the UK being duty-free.
Notably, tariffs on Nigerian goods such as cocoa butter and paste, sesame oil, clothing, and apparel have been eliminated, promoting value addition and supporting non-oil export sectors.
The ETIP signing precedes a UK Government-led trade delegation focused on fashion and beauty, demonstrating the commitment to strengthening economic ties between the two nations.
Badenoch highlighted the success of UK businesses in Nigeria and expressed enthusiasm about the enhanced partnership, which facilitates smoother exports and expansion opportunities for UK firms.
On her part, Uzoka-Anite emphasized the deepening of economic ties between the countries, moving beyond historical connections to shared economic prosperity.
The partnership addresses market access barriers, particularly in the education and financial sectors, fostering a more favourable trading environment for businesses from both nations.
The CityUK International Managing Director, Nicola Watkinson, welcomed the ETIP, noting Nigeria’s significance as a growth market for the UK’s financial and professional services industry.
The agreement is expected to facilitate increased market access and the removal of regulatory obstacles, contributing to the overall economic collaboration between the two nations.
