Nigeria and the Republic of Benin have taken a decisive step toward deeper economic ties by officially launching the implementation of a new economic cooperation agreement. The initiative aims to strengthen bilateral trade, align customs protocols, and foster greater regional integration, aligning closely with continental goals under the African Continental Free Trade Area (AfCFTA).

The formal rollout follows a two-day high-level meeting between senior government officials of both countries. This gathering was convened specifically to establish a practical framework for executing the agreement and to lay the groundwork for sustained collaboration across critical economic sectors.

A Vision Rooted in Regional Commitment

The economic cooperation agreement is a direct outcome of commitments made during the West Africa Economic Summit (WAES) held in Abuja in June 2025. According to Dr. Magnus Eze, Special Assistant on Communication and New Media to Nigeria’s Minister of State for Foreign Affairs, Ambassador Bianca Odumegwu-Ojukwu, the deal reflects a mutual resolve to move from informal cross-border trade to structured, rules-based partnerships that benefit both nations.

Key focus areas of the agreement include:

• Trade in services

• Customs alignment and reform

• Trade facilitation mechanisms

• Transport infrastructure development

• Private sector engagement and investment

Ambassador Odumegwu-Ojukwu emphasized that the agreement aligns closely with the economic objectives of both ECOWAS and the AfCFTA, and she commended President Bola Tinubu for his leadership in convening the June summit that gave rise to the initiative.

“This is more than an agreement—it’s a milestone that reflects our readiness to transform shared challenges into shared prosperity,” she noted.

From Informality to Institutional Partnership

Over the years, Nigeria and Benin have maintained close ties marked by cross-border exchange, both legal and informal. However, issues such as smuggling, unregulated trade, and trans-border criminal activity have persistently hampered the full potential of bilateral economic cooperation.

Ambassador Odumegwu-Ojukwu acknowledged these historical complications but insisted that the new agreement represents a significant departure from the status quo. “Our shared successes affirm a truth we must never lose sight of: that cooperation, not conflict—dialogue, not suspicion—remain our best tools for overcoming obstacles,” she stated.

She further called for the harmonization of customs and trade procedures, stressing the need to eliminate bureaucratic bottlenecks and create an enabling environment for local business growth and investment. By doing so, both nations stand to enhance their competitiveness within the broader West African region.

High-Level Political and Technical Engagement

The bilateral meeting featured several key government figures from both countries. Notable attendees included:

• Nigeria’s Minister of Industry, Trade, and Investment, Jumoke Oduwole, who presented the key resolutions adopted during the sessions.

• Benin’s Minister of Foreign Affairs, Olushegun Bakari, and Minister of Industry and Trade, Shadiya Assouman, who reaffirmed Benin’s commitment to mutual growth.

• Nigeria’s Comptroller-General of Customs, Adewale Adeniyi, who is expected to play a pivotal role in implementing customs-related aspects of the agreement.

During the meeting, both nations established technical working groups assigned to examine specific sectors in greater depth. These groups will develop sector-by-sector implementation plans, which will be presented in subsequent meetings scheduled to take place in Abuja.

The inclusion of senior officials and subject-matter experts signals that both governments are approaching this initiative with the seriousness and strategic planning necessary to ensure its long-term success.

Benin Reaffirms Commitment to Mutual Prosperity

Benin’s delegation expressed strong support for the new economic framework. According to Minister Bakari, the partnership with Nigeria has evolved from a transactional relationship into a strategic alliance with long-term benefits for both nations. He stressed that aligning customs policies, facilitating trade, and improving transport infrastructure are essential steps toward inclusive growth and job creation across the region.

Benin also pledged to continue working closely with Nigeria to resolve lingering issues such as illicit trade, border security, and infrastructure gaps. The country views the agreement as a blueprint for enhancing not only bilateral relations but also the West African trade ecosystem.

Tinubu Calls for Broader Regional Action

The seeds of the agreement were planted during the West Africa Economic Summit, where President Bola Tinubu delivered a powerful address urging regional leaders to move past decades of fragmentation and seize the opportunity for deeper economic integration.

“West Africa is one of the last great frontiers of economic growth,” Tinubu stated. “But opportunity alone does not guarantee transformation. We must earn it through vision, integration, policy coherence, collaboration, and capital alignment.”

He lamented the region’s stubbornly low intra-regional trade, which remains under 10%, calling it a missed opportunity rather than a failure of ambition. According to him, the problem stems from a coordination gap, not a lack of political will.

Tinubu also advocated for local processing of raw materials, particularly rare minerals, urging countries in the region to prioritize value addition and regional manufacturing over raw exports. His remarks resonated strongly with delegates, reinforcing the idea that sustainable development must come from within the region, driven by shared responsibility and aligned policy goals.

A Turning Point for West African Trade

The Nigeria-Benin agreement is widely seen as a model for other ECOWAS member states, especially those seeking to operationalize AfCFTA principles at a bilateral level. By moving from informal, fragmented systems to structured economic frameworks, both countries are taking meaningful steps toward regional competitiveness and global relevance.

Observers believe that successful implementation of the agreement could unlock new opportunities in agriculture, light manufacturing, transport logistics, and financial services. It could also serve as a template for broader West African cooperation, reducing reliance on external trade partners and enhancing supply chain integration across borders.

Next Steps and Outlook

With the technical working groups now in motion, the coming months will be critical in translating policy into tangible outcomes. Their reports are expected to address sector-specific challenges, propose clear action items, and offer recommendations for public-private partnerships.

Stakeholders from the private sector, especially small and medium enterprises (SMEs), are also expected to be looped into the process. Their involvement will be crucial in shaping implementation around practical realities and ensuring that the economic gains are felt by everyday citizens in both Nigeria and Benin.

As implementation progresses, officials have pledged to maintain transparency, open dialogue, and shared responsibility. The spirit of the agreement, as articulated by Ambassador Odumegwu-Ojukwu, is one of mutual trust and a shared desire for progress.