In Historic Milestone, AfCFTA Adopts Nigeria’s PPP Model for $3.1bn Customs Modernisation Drive
Summarized and contextualized by DistantNews.
At a glance
- Nigeria's Public-Private Partnership (PPP) model for customs modernization is being adopted continent-wide by the AfCFTA.
- This model will serve as the template for a $3.1 billion African customs project.
- The adoption validates Nigeria's PPP framework and its capacity to drive continental trade.
Nigeria's innovative Public-Private Partnership (PPP) model for customs modernization is set to be replicated across Africa, serving as the template for a $3.1 billion continental customs project under the African Continental Free Trade Area (AfCFTA). The Director-General of Nigeria's Infrastructure Concession Regulatory Commission (ICRC), Dr. Jobson Ewalefoh, announced that this adoption represents a significant validation of Nigeria's PPP framework, particularly its Customs Modernisation Project, which developed an indigenous digital solution for the Nigeria Customs Service (NCS). The AfCFTA secretariat has signed a 20-year concession agreement with Bergmans Security Consultants and Supplies Limited, the parent company of Trade Modernisation Project Limited (TMP), to deploy this project across approximately 50 member countries, supporting a continental market of 1.3 billion people. Ewalefoh highlighted that the critical aspect of this deal is not just the technology transfer but the replication of the PPP model itself, which was developed, structured, and regulated in Nigeria. He stated that the Nigerian experience proves that well-structured PPPs can mobilize private capital and expertise to deliver essential public infrastructure, enhance government revenue, and improve operational efficiency. "Africa is not just adopting a piece of technology. Africa is adopting a Nigerian idea, built by Nigerians, proven on Nigerian soil, and now trusted to carry the trade ambitions of an entire continent," Ewalefoh remarked. The Nigerian e-Customs Project, a PPP facilitated and regulated by the ICRC, is operated by TMP. The AfCFTA arrangement mirrors this underlying PPP model, rather than just adopting the B’Odogwu digital platform used in Nigeria. Ewalefoh recalled the project's initial challenges and doubts regarding the private sector's capacity, underscoring the success achieved through this collaborative approach.
Africa is not just adopting a piece of technology. Africa is adopting a Nigerian idea, built by Nigerians, proven on Nigerian soil, and now trusted to carry the trade ambitions of an entire continent.
Originally published by ThisDay. Summarized and contextualized by our editorial team with added local perspective. Read our editorial standards.