Ministers and economic experts have asserted that Nigeria's goal of becoming a leader in intra-African trade through the African Continental Free Trade Area (AfCFTA) relies significantly on empowering women-led businesses and integrating them into established trade networks.
This viewpoint was expressed during a colloquium held on Friday aimed at recognizing the pivotal contributions of women in industry, trade, and investment. The event took place at the National Assembly Library Complex in Abuja and was themed, 'Positioning Nigeria to Lead Intra-African Trade.'
Attendees highlighted the importance of improving women's access to capital, markets, and supportive incentives, arguing that these steps would enhance Nigeria's competitive stance and allow the nation to tap into the opportunities afforded by the AfCFTA.
In her keynote address, Minister of Industry, Trade and Investment, Jumoke Oduwole, stated that Nigeria’s approach to industrialization must recognize the essential but often underutilized contributions of women in the economy.
Oduwole pointed out that while the AfCFTA creates a $3.4 trillion market encompassing about 1.4 billion people, it is crucial to understand that trade agreements cannot automatically ensure prosperity. "Markets do not instigate wealth; production does. Trade agreements alone do not industrialize countries, competitive enterprises do," she asserted.
She emphasized that genuine economic change depends on fostering productive and competitive businesses capable of manufacturing, processing, and exporting goods on a large scale. "Nigeria’s aspiration concerning the AfCFTA does not involve being a mere consumer market. Instead, we aim to serve as a production center—manufacturing, innovating, and exporting extensively," she asserted.
According to Oduwole, manufacturing currently contributes approximately 13-14% to Nigeria's gross domestic product, which is considerably lower than the 20-25% typical in more developed economies. This gap, she noted, highlights the need to align Nigeria’s industrial objectives with broader economic strategies.
Notably, the minister remarked that women already play crucial roles in key sectors of Nigeria's real economy, including retail, textiles, agribusiness processing, and light manufacturing, boasting over eight million women-led micro, small, and medium enterprises generating more than $15 billion each year.
Nonetheless, she highlighted the systemic barriers that women-owned businesses face. "They represent over 40% of employment in micro, small, and medium enterprises, yet receive less than 20% of formal financing available to those enterprises. More than 90% operate in the informal sector, and fewer than 15% have access to structured training in digital skills," she noted.
Oduwole also remarked that less than 5% of these businesses follow formal governance practices, which inhibits their growth and access to institutional finance. She added that the federal government, in collaboration with the Ministry of Industry, Trade and Investment and the Bank of Industry, is focused on improving investment readiness among women-led businesses.
Imaan Sulaiman-Ibrahim, the Minister of Women Affairs, further stressed that Nigeria's economic transformation must be inclusive in order to compete effectively in the African market. She pointed out that women account for about 70% of the agricultural workforce but own less than 14% of land and obtain less than 10% of agricultural credit from formal channels.
This disparity highlights the significant role women play in the economy despite their marginalization from formal trading structures. International studies were cited showing that enterprises led by women tend to reinvest profits into their communities, education, and local supply chains.
The minister posited that addressing gender disparities in economic participation could substantially enhance both local and global economic productivity. "Supporting women in trade transcends mere social equity; it is a vital economic strategy," she claimed.
Didi Walson-Jack, the Head of the Civil Service of the Federation, echoed these sentiments, indicating that Nigeria's success in leading within the African trade sphere hinges on establishing effective policy frameworks and empowering economic participants. She noted that women represent a significant portion of Nigeria’s entrepreneurial demographic, advocating for their increased involvement in manufacturing, commerce, and cross-border trading to bolster national competitiveness.
Walson-Jack affirmed the federal civil service's commitment to fostering policies that enable inclusive economic expansion and create a conducive business environment.
Nura Rimi, the Permanent Secretary in the Ministry of Industry, Trade and Investment, mentioned that the AfCFTA has introduced several progressive frameworks to facilitate inclusive trading. He highlighted the Protocol on Digital Trade and the Protocol on Women and Youth in Trade as initiatives designed to broaden market access and financial opportunities for women and youth.
Rimi explained that these protocols aim to ensure that the advantages provided by the AfCFTA foster equitable economic growth across Africa. Moreover, a memorandum of understanding signed during the event seeks to improve cooperation and promote the growth of women-led enterprises in continental trade, ensuring that the opportunities generated by the AfCFTA are translated into sustainable, equitable economic growth across the continent.
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