News
FG May Slash Import Tariff on Cars
Reprieve appears underway for car dealers and buyers following plans by the Federal Government to review its import tariff on vehicles, according to Punch newspapers
This is expected to bring down the cost of new vehicles and increase the tempo of business in the nation’s automotive sector.
According to Punch, sources at the Federal Ministry of Industry, Trade and Investment gave the indication on Sunday that the current 70 per cent tariff on imported cars could get a downward review as a way to force down the prices of vehicles.
Although the National Automotive Design and Development Council, an agency under the ministry, said on Friday that 14 out of the 25 registered automakers had started assembling vehicles in the country, Nigerians have yet to enjoy the expected benefits of the new policy as the prices of vehicles are still high.
Even car dealers have had to adopt different strategies to encourage buyers and boost sales.
The sources, however, said the planned review, which is in tandem with the change mantra of the Muhammadu Buhari-led administration, should not be interpreted as an outright cancellation of the auto policy, which was announced in September 2013.
“It is likely to come in the form of a review of the import tariff on vehicles so as make it easy for people to buy new cars. The decision on the entire auto policy is expected to be part of the economic policy of the government, which will be unveiled as soon as the new ministers settle down,” one of the sources said.
Car prices were increased last year by about 60 per cent shortly after the import tariff went up from 22 per cent to 70 per cent, a situation, which made it difficult for many to buy new cars, just as fleet buyers such as corporate firms have had to cut down on the number of vehicles purchased.
The imposition of the new import tariff, which also affects imported used vehicles, according to the government, is to encourage local assembling/production of vehicles, with the attendant benefits of creating more jobs and boosting the nation’s economy.
A zero per cent was announced as tariff on imported vehicle components (Completely Knocked Down units) and auto assemblers are also allowed to bring in fully built vehicles at very low import tariff.
But some stakeholders, including major dealers such as Toyota Nigeria Limited, had complained about the timing of the policy and the seeming poor state of the needed infrastructural facilities for the sustenance of local assembly plants.
Mr. Oseme Oigiagbe, chairman of the automotive group, Lagos Chamber of Commerce and Industry, confirmed that the group had written to the Presidency and suggested a number of proposals on the implementation of the auto policy, and recently participated in some meeting sessions called by relevant government agencies/officials on the issue.
In an interview with our correspondent, he specifically called attention to the issue of unstable power supply and the commencement date for the new import tariff as contentious issues that needed to be urgently reviewed.
An auto expert and consultant, Dr. Oscar Odiboh, said the review of the tariff was expected, arguing that it was hurriedly put in place by the last regime and should, therefore, be suspended.
“The high tariff (on imported vehicles) should make itself necessary; it should not be forced down on the people. It should be suspended and introduced in phases – one to a five-year period,” he said.
Odiboh, who is the Managing Director, Newsletters Nigeria Limited, however, said the auto policy was a necessity for the development of the nation’s industry and the good of the economy.
“The project will take Nigeria from a lower stage to the next level and sit us among top economies of the world,” he stated.
But he warned that unless the implementation of the policy was made systemic and allowed to follow due process, it could derail the project.
He said, “Since this government says it has come to change things, it must change the policy. It is not a yam and beans policy. You must give people time.
“It requires certain basic things to be put in place. Power is necessary. There are other infrastructural facilities that will make the system run efficiently. Those things must be in place before enforcing the import tariff.”
Odiboh alleged that some firms had obtained the auto assembly plant licences to enable them to bring in fully built vehicles at low tariff and labelling those vehicles as being locally assembled.
But the Stallion Auto Group, currently assembling Nissan, Hyundai and Ashok Leyland brands of vehicles, and Dana Motors doing the Kia vehicles locally are optimistic that any review of the auto policy will not in any way affect their plants and business operations in Nigeria.
For instance, Mr. Parvir Sighn, managing director, Stallion NMN Limited, said, “As far as the group is concerned, we have no doubt that the government will sustain the policy. Anywhere in the world, the automobile industry is a high contributor to the Gross Domestic Product. It is also a significant employer of labour. The state of the auto development of a nation is a reflection of the development of that country.
“The policy will be sustained. There is no shortcut to it. You need a robust industry to support the high demand for vehicles in the country. The demand is there.”
Mr. Olawale Jimoh, spokesperson for Kia Motors Nigeria, said the company had in conjunction with its technical partners, Kia Motor Corporation, invested billions of naira in the local assembly plant and had in the process created jobs for Nigerians.
The government said the response of the automakers to the auto policy, particularly the call for the establishment of assembly plants in Nigeria, had been overwhelming.
Indeed, the NADDC said on Friday that the “response to the policy so far has exceeded our expectations.”
This must have prompted the Director-General of the NADDC, Mr. Aminu Jalal, to announce the suspension of licence issuance to new auto assembly plants.
He said the decision was taken to enable the council to set up some test centres that would “ensure that imported vehicles and components meet international safety and environmental standards.”
But the LCCI said the 70 per cent tariff on imported cars would bring about a higher transport cost.
The President, LCCI, Alhaji Remi Bello, said in a statement, “Vehicle ownership will be put further beyond the reach of the Nigerian middle class, especially in the face of poor credit access and high lending rates in the economy.”
He called for the development of ancillary industries for the production of batteries, glass, radiators, tyres and other vehicle components as well as affordable finance for the investors.
The LCCI president stated that the auto industry should be predicated on strong engineering infrastructure, including the production of flat sheets, foundries and fabrication of components needed in vehicle production.
When contacted, the Special Adviser to the President on Media, Mr. Femi Adesina, said he had no information on the auto policy, while the Special Assistant on Media to Vice President Yemi Osinbajo, Mr. Laolu Akande, promised to get back to our correspondent on the matter but never did up till the time of filing this report.
Africa Prudential Plc has reaffirmed its commitment to sustainable growth and digital transformation after posting another strong half-year financial performance, driven by robust growth in its core registrar business, technology-driven solutions and increased activity in Nigeria’s capital market.
Speaking during the company’s H1 2026 Investor Call on Tuesday, the management outlined plans to deepen revenue diversification and accelerate innovation as part of efforts to reduce reliance on interest income and strengthen long-term profitability.
The company reported gross earnings of ₦4.28 billion for the first half of 2026, representing a 27 per cent increase from ₦3.34 billion recorded in the corresponding period of 2025.
Profit before tax rose by 22 per cent to ₦2.41 billion, while profit after tax climbed 18 per cent to ₦1.59 billion.
Net operating income also increased by 27 per cent to ₦4.21 billion, while total assets grew by 13 per cent to ₦46.53 billion. Shareholders’ funds similarly rose by 13 per cent to ₦12.52 billion.
According to the company, the impressive performance was driven by sustained growth in its registrar business, increased corporate actions across the Nigerian capital market, stronger treasury earnings supported by the prevailing interest rate environment and rising adoption of its technology-enabled products and services.African Mineral Wealth
Managing Director and Chief Executive Officer, Dr. Catherine Nwosu, said Africa Prudential is steadily evolving from a traditional share registrar into a diversified technology and business solutions provider serving the broader capital market ecosystem.
Addressing concerns from investors about the sustainability of earnings if interest rates decline, Nwosu said the company was deliberately expanding its non-interest income sources.
“Interest rates influence our treasury income positively, but that is why we are deliberately diversifying our revenue streams. Our strategy is to grow recurring fee-based business lines such as our digital solutions, Know Your Customer (KYC) services, AGM technology, probate services and the SabiVest mobile app. Over time, this will reduce our reliance on interest income and create a more balanced and resilient earnings mix,” she said.
She noted that increasing activity in the Nigerian capital market presents fresh opportunities for technology-driven solutions.
“With capital market activity nearly doubling over the past year, demand for seamless digital investor experiences, improved market efficiency and stronger compliance standards continues to grow. We are investing in technology-enabled solutions that position us to capitalise on these opportunities while delivering sustainable value to our shareholders,” she added.
Looking ahead, the company identified five strategic priorities for the second half of 2026, including driving sustainable growth through its core registrar business and new revenue streams, accelerating technology-led product innovation, strengthening brand leadership, investing in talent development and reinforcing corporate governance.
The investor call attracted institutional investors, shareholders, analysts, regulators and other capital market stakeholders, reflecting strong interest in Africa Prudential’s earnings outlook, revenue diversification strategy and long-term growth plans.
News
IHS Nigeria Donates Business-Support Equipment to Empower People with Disabilities in Abuja Community
Communications infrastructure company, IHS Nigeria, has donated business support equipment to empower people with disabilities within the Karonmajiji community in the Federal Capital Territory, Abuja. This is part of the company’s commitment to drive inclusive community development and sustainable livelihood support under its Project Empower initiative.
The equipment was distributed to beneficiaries during a ceremony held in the community on Monday, July 27. The initiative was conceived following a community needs assessment and is designed to empower active traders by providing them with business tools rather than cash grants, thereby strengthening their businesses and ensuring long-term economic impact and accountability.
Speaking at the event, Director, Sustainability, IHS Nigeria, Titilope Oguntuga, described the initiative as a reflection of the company’s commitment to advancing inclusive development by equipping persons with disabilities with the tools and opportunities needed to build resilient livelihoods.
She explained that rather than providing short-term financial assistance, IHS Nigeria adopted an asset-based approach by donating 50 pieces of business support equipment, including sewing machines, freezers, generators and hairdressing kits, to the selected beneficiaries.
According to her, the intervention is designed to create lasting value by supporting entrepreneurship, promoting self-reliance and strengthening household incomes, while contributing to the achievement of the United Nations Sustainable Development Goals, particularly SDG 1 (No Poverty), SDG 8 (Decent Work and Economic Growth) and SDG 10 (Reduced Inequalities).
In his opening remarks, the Chief of the Karonmajiji Disabled Community, Alhaji Sulaiman Muhammed Katsina, represented by the Secretary of the Community, Alhaji Mohammed Dantani commended IHS Nigeria for its commitment to empowering persons with disabilities through practical and sustainable interventions.
He described the initiative as a demonstration of genuine partnership with the community and expressed appreciation for the company’s continued engagement with the Association, noting that the donation of the equipment was a significant investment in improving the livelihoods of persons with disabilities and would create meaningful economic opportunities for the beneficiaries and their families.
The event brought together traditional rulers, government representatives, leaders and members of the Karonmajiji Disabled Community Association, implementing partners, including Field of Skills and Dreams Vocational Technical and Entrepreneurship (FSD VTE) Training Institute and other community stakeholders, reaffirming a shared commitment to promoting inclusion and sustainable community development.
Project Empower reinforces IHS Nigeria’s commitment to advancing sustainable development through strategic partnerships that promote economic inclusion, strengthen community resilience and create opportunities for underserved communities.
The Chartered Institute of Bankers (CIBN) and the Association of Corporate Communication and Marketing Professionals in Banks (ACAMB) have enjoined banks to further deepen and prioritize financial inclusion, women’s empowerment and sustained growth through strategic mandates and frameworks, aimed at closing the financial gap and empowering more small, and medium enterprise (MSME) owners.
Both organisations made this call during a courtesy visit to the newly invested 24th President and Chairman of Council of the Chartered Institute of Bankers of Nigeria (CIBN), Dr. Dele Alabi, Ph.D, FCIB, as part of plans to congratulate him on his investiture as well as seek a stronger alliance between both bodies.
The visit followed Alabi’s investiture where he unveiled his “IMPACT” Vision, themed “Consolidating Our Local Impact, Enhancing Our Global Relevance.”
The vision rests on six pillars: Inclusion across geographic, gender, and generational lines; Membership growth and quality; Professionalism and ethics; Accountability; Competencies and skills development; Technology, automation, and innovation. Other areas of shared interest, include women empowerment, financial inclusion and literacy, as well as MSME clinics, all of which are top on his agenda.
Alabi explained that under him, the institute will be prioritising financial inclusion and women empowerment, because of its realisation that women are often the primary financial managers and caregivers in families. Access to savings, micro-credit, and insurance acts as a safety net during crisis and allows them to significantly improve living conditions.
He added that CIBN would be happy to drive joint knowledge sharing and exchange sessions with CBN and ACAMB across various platforms. “Educating the public through public awareness programmes, with ACAMB as the rallying point, is central to what we do,” he noted.
ACAMB President, Jide Sipe, who led the delegation, spoke in unison with the CIBN president, as he noted that, closing the inbalances in financial access help economies grow faster, reduces inequality, and encourages greater civic participation by all.
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