Addressing the 0.5% Levy Imposed by Mali, Burkina Faso, and Niger on Nigerian Goods: Legislative Interventions for Economic Stability

Obot, Etimbuk ; Udefuna, Patrick N. ; Udom, Martins (2025-05)

Working Paper

Following their withdrawal from ECOWAS, Mali, Burkina Faso, and Niger, now united under the Alliance of Sahel States (AES), have introduced a 0.5% levy on all imported goods, including Nigerian exports. While these nations have positioned themselves as no longer owing obligations to ECOWAS trade protocols, this abrupt policy shift disrupts a deeply interconnected regional trade environment, raising serious concerns for Nigeria’s economic interests. The levy introduces new trade barriers, increases costs for Nigerian exporters, and indicates uncertainty for regional commerce. The imposition also sets a precedent that could trigger further protectionist policies, threatening the cohesion and long-standing economic cooperation across West Africa. To respond effectively, the National Assembly may ● Engage the Ministry of Foreign Affairs and the Ministry of Industry, Trade, and Investment to initiate strategic dialogue with the governments of Mali, Burkina Faso, and Niger, now operating under the Alliance of Sahel States (AES), to address the economic implications of the 0.5% levy on Nigerian exports, with a view to negotiating relief or reciprocal trade arrangements. ● Commission an urgent impact assessment through relevant agencies (e.g., Nigerian Export Promotion Council, Nigerian Economic Summit Group) to evaluate how the levy is affecting Nigerian exporters, logistics providers, and border communities, and to design targeted policy responses. ● Call on the Ministry of Industry, Trade, and Investment to promote trade diversification strategies by encouraging Nigerian businesses to explore and expand into alternative regional and international markets, thereby reducing overreliance on trade routes through AES member states. ● Review and, where necessary, propose legislative or policy measures to enhance Nigeria’s trade resilience, including incentives for exporters, infrastructure investment at alternative border points, and stronger bilateral trade agreements outside the AES region. This coordinated legislative response could be essential to mitigate economic disruption, protect national interests, and assert Nigeria’s leadership in West African trade diplomacy.

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