In response to the U.S. President Donald Trump’s 14 per cent tariff on Nigerian exports, the federal government is considering a reset of its economic strategy, including a review of key assumptions underpinning the 2025 budget, such as oil price benchmarks and projected revenues.
The move aims to mitigate the impact on the country’s $6 billion annual exports to the U.S., which could exacerbate economic challenges such as inflation and a weakened naira.
Wale Edun, Minister of Finance and coordinating minister of the economy, acknowledged on Monday that the sweeping tariffs introduced by Trump are poised to impact the country’s economy, according to BusinessDay.
In response, Edun stated that Nigeria’s economic management team—comprising key stakeholders from both public and private sectors—will closely analyse the evolving situation and recommend optimal strategies to mitigate risks and adapt to the global trade shifts.
Edun made his remarks at the inaugural Corporate Governance Forum in Abuja, organised by the Ministry of Finance Incorporated (MOFI). The event marked the launch of MOFI’s corporate governance scorecard designed to monitor the performance of its portfolio companies, which currently exceed 50.
“It is the job and responsibility of the economic management team of President Bola Ahmed Tinubu, amongst others, to look at the various scenarios that might play out.
“There’s global uncertainty at a huge level, so nobody knows exactly what will happen on the announcements that have been made. We are not sure what will be delayed, what will be reversed, or what will be implemented,” he told a press conference.
“It is our responsibility to look at the various scenarios and options and advise the government accordingly.”
The United States, under President Donald Trump, has imposed a 14% tariff on Nigerian exports in retaliation for Nigeria’s 27% tariff on U.S. goods.
However, oil and mineral-related exports from Nigeria have been exempted from this new tariff policy, which aims to address perceived trade imbalances and protect American industries.
Nigeria has maintained a trade surplus with the United States over the past three years (2022-2024), with exports rising from ₦1.8 trillion in 2022 to ₦5.5 trillion in 2024. Oil and mineral exports dominated, accounting for 92% of total exports, valued at ₦5.08 trillion, while non-oil exports contributed just ₦0.44 trillion.
Earlier in his speech at the forum, Edun noted that the tariff impact on exports would remain minimal if Nigeria sustains its oil and mineral export volumes.
However, he hinted at a strategic economic overhaul, including budget realignment, to adapt to emerging global trade dynamics.
He highlighted that the adverse effect on Nigeria will come through oil price plunge, although the government is intensifying efforts to ramp up crude oil production and on non-oil revenue mobilization by FIRS and Customs, to curtail any price effect.
He said: “We do have a 14% tariff on our exports, but it’s a lot better than Vietnam, which has 46%. We need to look at these situations and see what the opportunities are.
“With a relatively stable economy and an attractive investment environment, including an attractive exchange rate, Nigeria today is a place where if they can’t produce in Vietnam, they can come and produce here.
“We are here, we are ready, we are waiting, and we have what will be attractive to them in terms of policies, market, and export capacity. That’s the way we are looking at what is going on globally.
“On the one hand, we are going back to the drawing board to look at our budget all over again, because we have to see what changes have been made in the assumptions and the reality over the first quarter and even projected into the future,” the minister stated.
He also stated that the ongoing tariff and trade war has provided Nigeria the opportunity to look inwards and identify inherent possibilities, beginning with ensuring that State Owned Enterprises (SOEs) are run efficiently to deliver expected results.
He said these enterprises wield considerable influence across key sectors including energy, infrastructure, telecommunications, and financial services.
However, their potential to drive economic expansion, job creation, and industrial growth has often been constrained by inefficiencies, poor financial stewardship, and in some instances, governance deficiencies.
He said the situation has necessitated the launch of MOFI’s scorecard which seeks to drive transparency, accountability, efficiency, and ethical leadership, that will foster institutional credibility and financial sustainability
“The absence of corporate governance best practices has historically led to fiscal leakages, diminished public trust, and an erosion of investors’ confidence.
“The government through MOFI recognized this and has embarked on strategic reforms to reposition SOEs for value creation,” he stated.
He commended MOFI for taking such crucial steps and urged SOEs to adopt robust and sound corporate governance framework for operational excellence.
He, however, noted that further strategic interventions will be necessary in institutionalizing the MOFI Corporate Governance Scorecard, enhancing fiscal oversight mechanisms, promoting public-private partnerships (PPPs), reforming legal and regulatory frameworks, and building institutional capacity.
In his speech, Armstrong Takang, Managing Director/CEO MOFI underscored the critical need for improved governance in Nigeria’s state-owned enterprises SOEs to achieve President Tinubu’s ambitious goal of transforming Nigeria into a $1 trillion economy.
Takang highlighted the stark reality that only 20 out of 52 portfolio companies under MOFI have audited accounts over the past three years, emphasising the urgency of addressing governance gaps.
Takang challenged leaders to prioritise timely and correct decision-making, noting that inaction often has severe economic consequences.
He stressed that governance reform is not just about rectifying past mistakes but also about proactively addressing areas left unattended.
“Getting governance right is pivotal to achieving equity-based fundraising and resource mobilization for critical sectors,” he stated.
The MOFI CEO also pointed to Nigeria’s inflection point in global trade dynamics, exacerbated by tariff inequities following geopolitical shifts such as President Trump’s Liberation Day announcement.
He framed Trump’s ongoing tariff war as an opportunity for introspection and reform, particularly in leveraging SOEs for economic growth.
Acknowledging the critical role of SOEs, Takang cited examples like Bank of India raising €1.879 billion in international markets last year as evidence of their capacity to mobilize resources.
He reiterated MOFI’s strategic pivot towards equity-based fundraising over debt financing and commitment to transparency and accountability, noting that a national assets register is underway to provide a comprehensive view of Nigeria’s holdings.
Takang concluded with a call for collective honesty and commitment from stakeholders in addressing governance challenges, stating, “This country is too endowed to be poor.”
Shamsudeen Usman, MOFI Chairman, highlighted the adoption of a corporate governance code, signed by all board and management members, which includes strict ethical standards to prevent personal interests from influencing decision-making.
Usman also emphasised MOFI’s conflict-of-interest policy, whistleblower protections, and a comprehensive risk management framework led by an experienced executive director.
He said these measures aim to position MOFI as a model of corporate governance while maximising returns on Nigeria’s investment.
