The Lagos Chamber of Commerce and Industry (LCCI) has cautioned that Nigeria’s recent trade alignment with BRICS bloc and the ensuing retaliatory tariffs by the United States pose significant threats to national revenue, investor confidence and the survival of critical non-oil exports.
Addressing journalists during the Chamber’s third quarterly press conference in Lagos, the LCCI President, Gabriel Idahosa, stated that Nigeria was increasingly vulnerable to global economic fragmentation, geopolitical shifts, and weakening domestic indicators, with policy responses urgently needed to safeguard the economy and business environment.
Idahosa described it as deeply concerning, given Nigeria’s close relations with the BRICS bloc, comprising Brazil, Russia, India, China, and South Africa.
He warned that the trade tension could further depress Nigeria’s foreign earnings, disrupt supply chains and isolate the country from strategic markets if left unaddressed.
Idahosa urged the Federal Government to initiate bilateral engagement with the U.S. to seek exemptions for targeted sectors and reaffirm the country’s strategic importance as West Africa’s leading economic player.
Beyond the diplomatic fallout, the LCCI called for a deliberate strategic trade diversification plan that would strengthen regional trade ties, improve domestic industrial capacity and negotiate preferential trade agreements within the BRICS bloc to mitigate losses.
The Chamber also advised the government to accelerate reforms that support local value chains and reduce the economy’s dependence on oil.
While acknowledging the official Q1 2025 GDP growth of 3.13 per cent and the rebasing of Nigeria’s nominal GDP to N372.82 trillion, Idahosa warned that the figures mask the realities of the economy.
“The inflationary spiral, high energy costs, exchange rate depreciation, and rising cost of living continue to erode real incomes and deepen poverty,” he said, insisting that these pressures are forcing both households and businesses into survival mode.
Source: Guardian
