AFC backs Nigeria’s expanded African trade routes

The President of the African Finance Corporation, Samaila Zubairu, has backed Nigeria’s expansion of trade routes to East and Southern Africa, describing the initiative as a major step towards implementing the African Continental Free Trade Area while urging businesses to drive its success.

Speaking in an exclusive interview with The PUNCH, Zubairu said the government’s policy would achieve its objectives only if Nigerian companies took advantage of the opportunities created by the new trade corridor.

“Nigeria’s expansion of trade routes to the East-Southern Africa region is a very good initiative. And we, of course, encourage all Pan-African trade initiatives. We think that it will be helpful in the implementation of the African Continental Free Trade Agreement that we have.

“And it is only through initiatives like this that you give them life. So we think that companies should embrace it. I mean, the government has made the pronouncement, but it is companies that will make it work,” Zubairu said.

He urged businesses to leverage financing opportunities available through commercial banks across the continent to take advantage of the expanded market.

“So companies should see it as an opportunity. And they should pursue the opportunity. And we have lots of banks in Nigeria and in the region. So all of those banks will provide support.

“And they should seek the support of those banks. And if we are required to provide support, we are also happy to do so. But people should always remember that we are an infrastructure and industrial bank, not a trade bank. But we can support the banks with trade lines,” Zubairu added.

The Federal Ministry of Industry, Trade and Investment recently flagged off the expanded Nigeria-East and Southern Africa Air Cargo Corridor in partnership with RwandAir as part of Nigeria’s implementation of the AfCFTA.

The initiative opens new export routes to Kigali, Rwanda; Lusaka, Zambia; and Harare, Zimbabwe, while providing an additional carrier for exporters shipping goods to Nairobi, Kenya, and Johannesburg, South Africa.

The ministry said exporters holding an AfCFTA Certificate of Origin issued by the Nigeria Customs Service would enjoy cargo rates of less than $2 per kilogramme across the five destinations, compared with previous rates of between $3 and $10 per kilogramme.

Speaking at the inauguration on June 19, the Minister of Industry, Trade and Investment, Dr Jumoke Oduwole, said the expanded corridor would make it easier and cheaper for Nigerian businesses to trade across Africa.

“Our goal is clear: to make it easier and cheaper for Nigerian businesses to trade across Africa. One year ago, we launched this corridor to solve a real problem for exporters — the high cost of moving goods into African markets.

“Today, with RwandAir, we are widening that corridor, opening more routes, and giving our exporters more options to compete. With eight businesses receiving AfCFTA Certificates of Origin today, we are also showing that this is not just about policy — it is about real businesses, real exports, and real market access. This is AfCFTA in action,” Oduwole said.

According to the minister, the air cargo corridor recorded a 40 per cent increase in export volumes within its first year after its launch in 2025 with Uganda Airlines, demonstrating growing demand for intra-African trade.