Policy Failure, Infrastructure Gaps Pushing Investors Out of Nigeria’s Free Trade Zones, Says Ndibe

Kuni Tyessi in Abuja

Policy inconsistencies and poor infrastructure are driving manufacturing investors away from Nigeria to neighbouring countries, Dr. Chris Ndibe, former General Manager of the Calabar Free Trade Zone, has said.

Speaking yesterday at the launch of his two books, “Reimagining Free Zones in Nigeria” and “Accelerating Growing Economies Through Free Trade Zones” in Abuja, Ndibe warned that Nigeria’s economic enclaves need a complete overhaul to remain competitive.

 Ndibe disclosed that a presidential committee set up three years ago to reform the sector has yet to deliver tangible results, stalling key growth initiatives and the uncertainty, he said, is already costing Nigeria direct investment.

Ndibe blamed the zones’ underperformance on the National Assembly’s failure to review the governing Nigeria Export Processing Zones Authority Act and the law, he noted, has remained unamended for over 33 years.

“The books explore repositioning free trade zones as dynamic economic institutions rather than mere regulatory structures, whilst highlighting global strategies for industrialisation and export competitiveness,” he explained

“Last year, I lost a job. Two firms contacted me, and they had paid me 50% for the job, but they later called me and said, ‘Chris, you can hold whatever we have given you, we are moving to Cotonou.

“First of all, in Nigeria, the act we are using is stale. I just have to say it. We cannot, in a dynamic society like the world is going today, use an act which is already 33 years old. It was passed by IBB in 1992. Modern economic realities necessitate a review every five to ten years to remain globally competitive.”

He further cited critical infrastructure deficits in Nigeria’s premier zones, including the absence of stable power, central sewage treatment facilities, and viable road networks. These gaps, he said, limit the zones’ capacity to support high-value industrial production.

In a goodwill message, NEPZA Managing Director, Dr. Olufemi Ogunyemi, represented by Head of Corporate Communications Dr. Martins Odeh, commended the publications, while noting that the books would “bridge the knowledge gap currently experienced in the administration of the scheme.”

Despite current challenges, he noted the Authority has licensed 63 free zones hosting over 900 enterprises.

“These have collectively attracted around 35 billion US dollars in capital investments and generated over 100,000 direct and indirect jobs,” Ogunyemi added.

Also speaking at the event, Keystone Bank Chairman Ada Chukwudozie said the real economic value of free trade zones “goes beyond real estate layouts and tax incentives, as they serve as collaborative industrial ecosystems.”

She pointed to Kenya as an example of a country leveraging integrated zone policies to build regional production hubs.

She urged Nigerian regulators and financial institutions to “internalise the ideas in the books to achieve sustainable national development.”

The launch comes amid growing concern that Nigeria risks losing its manufacturing base to smaller West African economies offering more predictable policy environments and better infrastructure.