CEO, CPPE, Dr. Muda Yusuf.

An economic expert and former Director General, Lagos Chamber of Commerce and Industry LCCI, Dr Muda Yusuf has said that efforts of the Federal Government of Nigeria at fully harnessing the country’s maritime and blue economy potential and make it contribute substantially to the Gross Domestic Product GDP can only be achieved through a strong regulatory framework.

Dr Yusuf, who doubles as the CEO, Centre for Public and Private Enterprises CPPE, spoke against the backdrop of the Nigerian Shipping and Port Economic Regulatory Agency Bill 2023, which has passed the second reading stage at the country’s lower legislative chamber, the House of Representatives. The Bill seeks to establish the Nigerian Shippers Council as the Commercial/Economic Regulator for the port industry.

Fielding questions from journalist at the 2024 edition of the Maritime Media Seminar held in Lagos, recently with the theme: “The Nigerian Shippers’ Council in Transition, Issues, Prospects and Challenges”, the CPPE-boss observed that the maritime and shipping industry is predominantly made of several multinational companies, which are cartels and monopolies of some sort and would therefore need to operate under a well regulated industry, strong regulatory framework and equally strong institutions.

“Weak regulatory framework has remained the bane of Nigeria’s maritime industry, which is currently the second biggest revenue earner after crude oil, but which has sufficient resources to surpass the revenue from crude oil if well regulated under a strong framework. This is why every well-meaning citizen should support the new bill, which will usher in a regime of strong regulatory framework under the Nigerian Shippers’ Council.

“You can also see the level of strong regulation in the country’s telecommunications industry, where the Nigerian Communications Commission NCC is strongly on ground to provide effective regulation the Global System for Mobile Communication GSM operators and other service providers in the sector.

“The maritime industry currently has zero contribution to the GDP, all the jobs are being taken by foreigners, we need to get our jobs back, it is only in Nigeria that you see foreigners go into the Customs Processing Centre CPC to clear cargo, you cannot go to Cotonou to clear cargo at their seaports. Even in the United States, there several levels of restrictions to the extent that they are placing higher tariffs on China made products to give a competitive edge to the products made in the country”, he said.

The former LCCI-boss, who also commented on the current economic hardship faced by the citizens, noted that most of Nigeria’s economic woes are man-made, adding that the decision of the current government to insist on tough economic policies, many of which are not thought is the reason the citizens are suffering.

He blamed the high inflation rate on the N1,700/$1 exchange rate, which the Nigeria Customs fixes exchange rate for import duty payment, arguing that Nigerian citizens have become spectators in their own country, adding that that there is a limit to liberalisation.