Economy
AfCFTA Seeks Nigeria Customs Digital System for Africa-Wide Adoption
The African Continental Free Trade Area (AfCFTA) wants other African countries to learn from Nigeria’s digital customs reforms, as the continent seeks to remove some of the border delays and administrative barriers holding back intra-African trade.
AfCFTA Secretary-General Wamkele Mene made the call during a visit to the Nigeria Customs Service (NCS) headquarters in Abuja on Thursday, 6 August.
He praised the NCS’s technology-driven reforms and said the systems being developed in Nigeria could have applications beyond the country.
“What we have seen today is truly state-of-the-art. I sincerely congratulate the NCS for what it has achieved within such a short period. We would like to work together and learn from what Nigeria has accomplished because this innovation has inherent benefits not only for Nigeria, but for the entire African continent,” Mr Mene said.
His comments come as AfCFTA faces a practical problem: removing tariffs alone will not make it easy for African businesses to trade if goods still face lengthy customs procedures, incompatible systems and delays at borders.
Why customs digitisation matters
The AfCFTA was created to make trade between African countries easier, but implementation depends heavily on what happens at ports and borders.
The World Bank estimates that intra-African trade accounts for about 14% of Africa’s total trade, compared with roughly 60% within the European Union and 50% within Asia. It says implementation of AfCFTA has been slow and uneven, although Nigeria is beginning to play a larger role in the process.
For businesses, customs procedures are not simply an administrative issue.
Delays can increase transport, storage and demurrage costs, while unreliable clearance processes can make goods more expensive and reduce the competitiveness of African producers.
The World Bank says efficient customs and border procedures can make trade faster, more predictable and less costly for businesses.
This is the problem Nigeria says its digital reforms are designed to address.
Nigeria’s experiment with B’Odogwu
The NCS has been developing the Unified Customs Management System, known as B’Odogwu, as part of its wider Customs modernisation programme.
According to an NCS document, the Federal Government signed a 20-year concession agreement with Trade Modernisation Project Limited in May 2022 for a paperless customs system.
B’Odogwu was developed to replace the Nigerian Integrated Customs Information System II and automate customs processes, with the stated objectives of reducing clearance delays and improving revenue collection.
The platform was first piloted at the Port and Terminal Multiservices Limited (PTML) Command in Lagos.
But the rollout has not been without problems.
The Federal Ministry of Information reported in August 2025 that freight forwarders and licensed customs agents had raised concerns about delays and demurrage linked to the implementation of B’Odogwu. The NCS subsequently engaged the Nigerian Shippers’ Council to address problems involving system integration, documentation and port logistics.
There are signs of improvement
There is evidence of progress at some commands.
At PTML, Customs reported a 34.1% increase in revenue during the first six months of 2025 compared with the same period in 2024.
The command attributed part of the increase to B’Odogwu and said it had generated ₦301.8bn through the platform since its rollout in October 2024.
The NCS has also continued expanding its digital infrastructure.
Its current trade portal describes B’Odogwu as a platform through which traders, licensed customs agents and partner agencies can access digital customs services. The Service is also developing a National Single Window intended to bring trade and maritime processes into a unified digital environment.
The agency’s reform agenda, launched in April, also includes risk-based cargo clearance, better use of scanning infrastructure, service timelines and stronger coordination between agencies.
But Nigeria’s experience exposes the bigger challenge
Moving customs processes online does not automatically remove the problems that occur at borders.
A World Bank assessment of trade-related bottlenecks in Nigeria found evidence of inefficient customs administration, inconsistent valuation and coding of goods, coordination problems and delays in clearance.
That means technology can improve the process, but it cannot by itself resolve poor infrastructure, inconsistent enforcement, inadequate coordination between government agencies or deliberate delays.
There is also a new risk: digital systems create greater dependence on reliable infrastructure and cybersecurity.
If customs processing becomes heavily dependent on one digital ecosystem, system outages or security breaches can disrupt the movement of cargo on a much larger scale.
For African countries considering adopting Nigeria’s model, therefore, the question will not simply be whether B’Odogwu works. It will be whether it can work reliably across countries with different laws, infrastructure, customs procedures and levels of digital readiness.
AfCFTA sees a continental opportunity
Mr Mene described the NCS data centre as a potential strategic asset for African countries that may not have the resources to build similar infrastructure themselves.
He said the facility showed that African countries could develop and manage critical digital infrastructure rather than relying entirely on systems developed elsewhere.
That argument fits into a wider push by AfCFTA to build Africa-owned digital trade infrastructure.
In July, the AfCFTA Secretariat announced a partnership with the ADI Foundation to develop digital infrastructure for intra-African trade. The initiative identified fragmented digital systems as a major obstacle to cross-border commerce and estimated that such fragmentation could cost Africa’s economy as much as $100bn annually.
The timing is also significant because AfCFTA has recently moved to strengthen customs modernisation across the continent. Punch and other Nigerian outlets reported this week that the AfCFTA Secretariat had signed a 20-year, $3.1bn concession agreement aimed at modernising customs administration and improving intra-African trade.
Nigeria’s technology therefore arrives at a time when customs reform is becoming part of the wider infrastructure needed to make AfCFTA work.
What does this mean for Nigerian traders?
If the reforms work as intended, importers, exporters, manufacturers and logistics companies could benefit from fewer paper-based procedures, better visibility of declarations and potentially faster cargo clearance.
Consumers could also benefit indirectly if lower trade and logistics costs eventually reduce the cost of goods.
Businesses will still need to deal with tariffs, regulations, inspections, infrastructure constraints and other agencies involved in cargo clearance.
And if digital systems malfunction or are poorly integrated, traders may face a different version of the same delays rather than their complete removal.
That makes transparency particularly important.
The NCS will need to publish measurable evidence showing how the reforms affect clearance times, revenue collection, compliance, system availability and the cost of doing business.
What happens next?
Mr Mene said AfCFTA is prepared to work with the NCS and learn from its technology.
Adewale Adeniyi, the Comptroller-General of Customs, welcomed the proposal and said the Service would continue developing systems tailored to African trade.
“We sincerely appreciate your passion for promoting intra-African trade and strengthening the interconnectivity of customs systems across the continent. We are not done yet. We will continue to expand the frontiers of innovation, learning from global best practices while developing solutions that advance the peculiar interests of the African continent,” Mr Adeniyi said.
He added that the NCS would work with AfCFTA and other African customs administrations to deepen digital integration, facilitate legitimate trade and strengthen regional economic cooperation.
The next test, however, is implementation.
For Nigeria, the credibility of the reform will ultimately depend less on praise from regional institutions and more on whether a trader can move goods through a Nigerian port or border faster, more predictably and at lower cost than before.
If that happens consistently, Nigeria’s customs technology could become a useful African model.
Fidelity Bank has used its quarterly business forum in Kano to engage small and medium-sized businesses on ways to improve access to finance, strengthen operations and build resilience amid the challenges facing enterprises in Northern Nigeria.
The forum, themed “Positioning Northern Businesses for Growth”, brought together entrepreneurs, business owners, customers and other industry stakeholders to discuss business financing, financial management, market access and strategies for sustainable growth.
The initiative comes as businesses across Nigeria continue to contend with rising operating costs, access-to-finance constraints and the need to improve their financial and management systems.
Why the Kano SME forum matters
Speaking at the event, Fidelity Bank’s Executive Director, North, Sufiyanu Garba, said Northern Nigeria had significant economic potential that could be unlocked through stronger partnerships and business support.
“The North occupies a critical place in Nigeria’s economic future. With its vast agricultural resources, strong trading culture, manufacturing capacity and large consumer market, the region has enormous potential for sustainable economic growth. Fidelity Bank remains committed to helping businesses unlock this potential through financing, market access, advisory support and strategic partnerships.”
Garba said the bank’s quarterly forum was intended to provide support beyond lending.
“Supporting businesses is central to our purpose, and our ambition is to be more than a provider of funds. We want to be a trusted partner that understands businesses and provides the financing, knowledge, connections and solutions they need to grow.”
He added that Kano and other parts of Northern Nigeria had the talent, resources and entrepreneurial activity needed to contribute significantly to the country’s economic development.
Bank promises more than access to credit
Fidelity Bank’s Divisional Head, SME Banking, Ugochi Osinigwe, described the forum as a platform for the bank to hear directly from business owners about the challenges they face.
“This forum is more than an engagement; it is a listening platform. We are here to deepen our relationships, understand the unique challenges facing businesses across sectors and hear directly from entrepreneurs on how we can serve them better.”
She said the bank’s support included financial products, advisory services and partnerships intended to help businesses develop and expand.
Osinigwe also pointed to zero-maintenance-fee account offerings and free capacity-building programmes covering areas such as business structuring, record keeping, financial management and access to finance.
“We invest significantly in training because many SMEs struggle due to limited knowledge of essential business practices. Through our physical and digital learning platforms, we help entrepreneurs develop the skills required to become more structured, sustainable and bankable.”
Business owners welcome engagement
Participants at the forum said opportunities for direct engagement between financial institutions and businesses could help entrepreneurs better understand available financial and business-support options.
Okereke Ignatus Mmbonye, managing director and chief executive of I.G. Best Company, said the bank’s support extended beyond financing.
“Fidelity Bank has demonstrated that its commitment to SMEs goes beyond access to credit. Platforms such as this provide valuable knowledge and connections that can make a real difference to growing businesses.”
The managing director of Nabila Oil Mills, Sufiyanu Salisu Ahmad, also praised the forum for bringing financial institutions and entrepreneurs together.
“I appreciate Fidelity Bank for creating this platform to engage directly with entrepreneurs and understand the challenges we face. It is encouraging to see a bank take such a practical approach to supporting businesses.”
Fidelity Bank’s SME support record
The Kano forum is part of Fidelity Bank’s wider SME support activities, which include financing, business development, financial education and financial inclusion initiatives.
The bank said it recently received the Development Bank of Nigeria (DBN) Service Ambassadors Award for the Highest Impact on MSMEs Accessing Credit for the First Time.
Fidelity Bank also lists among its recent recognitions the 2025 DBN Innovation Award for MSME Support, Best Retail and SME Bank Award from Independent Newspapers, and awards for export and trade finance and innovation at the 2025 BusinessDay Banks and Financial Institutions Awards.
The bank said it serves more than 10 million customers through digital channels and 255 business offices in Nigeria, alongside its UK subsidiary, FidBank UK Limited.
For businesses in Northern Nigeria, however, the longer-term test will be whether access to finance, training and business networks translates into stronger enterprises, increased investment and sustainable job creation.
The Ondo State Government has increased its 2026 budget from N524.411 billion to N769.384 billion, with additional funding expected to accelerate road construction and projects in water, healthcare and other critical infrastructure.
The Commissioner for Budget and Economic Planning, Olaolu Akindolire, announced the budget revision after the State Executive Council meeting.
He said the increase followed a mid-year review of the 2026 Appropriation Law and was driven by the administration’s intensified infrastructure programme.
The revised budget has been forwarded to the Ondo State House of Assembly for ratification.
Why Ondo increased its 2026 budget
The original 2026 budget was signed into law by Governor Lucky Orimisan Aiyedatiwa on 29 December 2025 and came into effect on 1 January 2026.
According to Akindolire, an assessment of budget implementation during the first and second quarters showed different levels of performance across Ministries, Departments and Agencies.
Some agencies recorded higher funding demands and were approaching their approved provisions, while others had slower utilisation because of implementation challenges.
The commissioner said the review was therefore intended to realign budget provisions, close funding gaps and improve implementation during the remaining months of the year.
90km of roads planned across Ondo
One of the major priorities under the revised spending plan is road infrastructure.
Akindolire said Governor Aiyedatiwa had directed that at least five kilometres of roads be constructed in each of Ondo State’s 18 local government areas before the end of 2026.
That would amount to a minimum of 90 kilometres of new road construction across the state.
The government says the roads will improve connectivity, facilitate the movement of agricultural produce and link communities to markets, schools and healthcare facilities.
The projects are also expected to support economic activity in both urban and rural communities.
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More money for flyover, water and healthcare
The revised budget also includes additional funding for the Adegbola–St Mathias flyover along Oba Adesida Road in Alagbaka, Akure.
The government said water and healthcare allocations had also been increased.
According to Akindolire, anticipated development financing will support projects designed to improve access to reliable potable water, while the additional healthcare funding is expected to strengthen service delivery and address emerging needs.
“The revised budget also makes additional funding provision for the Adegbola–St. Mathias flyover along Oba Adesida Road in Alagbaka, Akure.
“Water and healthcare have also received additional funding, with anticipated development financing expected to support projects aimed at improving access to reliable potable water, while the healthcare allocation is expected to strengthen service delivery and respond to emerging needs,” he stated.
Traditional rulers approved
The State Executive Council also approved the appointment of Prof Thompson Akinyele Akinifesi as the pioneer Ekingbade of Bolorunduro in Ondo East Local Government Area.
The Commissioner for Local Government and Chieftaincy Affairs, Amidu Takuro, said the appointment would mark a new phase for the community, which is the headquarters of Bolorunduro Local Government.
The council also approved the appointment of warrant chiefs to oversee processes for selecting new traditional rulers in Ikun Akoko in Akoko South-West, Ute in Ose and Ero in Ifedore Local Government Area.
The appointments are expected to facilitate the selection of a new Olukun of Ikun Akoko, Olute of Ute and Ekiri of Ero.
Takuro said the government would continue to support communities preparing to select new obas while avoiding undue interference in the traditional selection process.
What happens next?
The revised N769.384 billion budget will require ratification by the Ondo State House of Assembly before it can take effect as amended.
The Commissioner for Information, Idowu Ajanaku, said the government would continue to prioritise infrastructure development.
“Reiterating the decisions made by the council, the Commissioner for Information, Mr Idowu Ajanaku, said the administration of Governor Aiyedatiwa will continue to give priority to the infrastructural development of the state.”
The scale of the increase means implementation will now be closely watched, particularly the government’s plans for roads, water and healthcare in the state’s 18 local government areas.
Nigeria’s Finance Minister, Taiwo Oyedele, has praised the Nigeria Customs Service (NCS) for its strong revenue performance and technology-driven reforms, while challenging the agency to set global standards in trade facilitation.
Oyedele spoke on 2 September 2026 during his inaugural Nigeria Customs Service Board meeting and a tour of Customs facilities at the Service’s headquarters in Abuja.
He said the progress recorded by Customs should be used as a foundation for improving cargo clearance, transparency and revenue collection across Nigeria’s trade system.
Customs reports N5.4 trillion revenue in eight months
According to the minister, the NCS generated N4.03 trillion in revenue between January and June 2026, followed by another N1.38 trillion in July and August.
That brings the reported revenue for the first eight months of the year to about N5.41 trillion.
Oyedele said the figures put the Service on course towards its N11 trillion revenue target for 2026.
The performance comes as Customs continues to invest in automation, intelligence-led operations and measures aimed at improving the processing of cargo.
Minister wants Customs to compete globally
Oyedele said Customs should now move beyond revenue collection and position itself as a leading trade facilitation agency in Africa and internationally.
“Results are precisely what should propel us to do more,” he said.
He identified port efficiency, end-to-end transparency, shorter cargo clearance timelines and revenue integrity as areas where the Service should pursue world-class standards.
“Nigeria must lead through performance, not rhetoric,” he added.
Technology at the centre of Customs reforms
The minister’s comments followed a tour of Customs facilities, where he observed the Service’s technology and intelligence infrastructure.
The Federal Government has increasingly emphasised digital systems and automation as part of efforts to improve the efficiency of government agencies and strengthen revenue mobilisation.
For importers, exporters, freight forwarders and other businesses involved in international trade, improvements in cargo processing could affect the time and cost involved in moving goods through Nigerian ports.
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Government promises continued support
Oyedele reaffirmed the Federal Government’s support for the Customs Service, saying the agency would be backed with modern technology, operational tools and policy support.
The objective, he said, is to sustain the NCS’s progress and strengthen its role as a major trade facilitator in Africa.
Under Comptroller-General of Customs Adewale Adeniyi, the Service has continued to highlight automation, intelligence-led enforcement and trade facilitation as key components of its modernisation agenda.
Why the Customs revenue target matters
The N11 trillion target is significant because Customs revenue contributes to the Federal Government’s overall efforts to raise funds for public spending.
But higher collections are only one measure of the Service’s performance.
For businesses, the quality of Customs administration also matters: faster clearance, predictable procedures, transparent charges and efficient port operations can influence the cost of importing and exporting goods.
The minister’s challenge therefore places equal emphasis on revenue performance and trade facilitation.
What happens next?
The NCS will face the task of maintaining its revenue momentum while delivering the operational improvements expected by the Federal Government.
Meeting the N11 trillion target would require the Service to sustain collections through the remaining months of 2026, while ensuring that enforcement and revenue measures do not undermine legitimate trade.
The minister’s message was clear: Customs is expected to build on its recent gains and translate them into measurable improvements for businesses, traders and the wider Nigerian economy.
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