Reduce number of agencies at borders, Okonjo-Iweala urges FG

Ngozi Okonjo-Iweala, Director-General of the World Trade Organisation (WTO), has called on the Nigerian federal government to reduce the number of agencies stationed at the borders, suggesting it as a critical reform for enhancing trade facilitation and boosting revenue generation through the Nigeria Customs Service (NCS).

Speaking virtually on Wednesday at the 2024 Controller General of Customs Conference in Abuja, themed ‘Nigeria Customs Service: Engaging Traditional and New Partners with Purpose,’ Okonjo-Iweala highlighted Nigeria’s excessive presence of government agencies at the borders.

She argued that “better coordination and delegation” would ease trade, noting, “Nigerian agencies need to work with the Customs Service to streamline their approach to handling the border.”

Reflecting on her time as Nigeria’s finance and coordinating minister for the economy, she recalled this issue as a recurring challenge, lamenting the lack of improvement based on WTO data.

Among other reforms, she advocated for improved risk management and a drastic reduction in inspection rates.

She highlighted that, in many developed countries, less than 1 per cent of consignments undergo physical inspection, whereas Nigeria’s rate is about 90 per cent, with an additional 9 per cent scanned.

“Better risk management will have to go hand in hand with better compliance by firms, improved targeting and feedback from inspections, and less discretion on the part of individual officials to ensure customs’ own rules and that regulations are predictably and consistently applied, coupled with effective sanctions,” she explained.

The WTO chief also recommended enhanced information sharing, faster clearance times, and limited use of tariff concessions, urging customs officers to embrace these adjustments.

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