Nigeria Could Be Making ₦70 Trillion A Year From The Sea. So Why Are We Still Borrowing?
When someone asks where Nigeria's money comes from, what is the first thing that pops into your head? Oil? Taxes? If we are being honest, maybe loans?
Almost nobody thinks of THE SEA. But take a look at the map. Nigeria boasts one of the longest coastlines in West Africa. Rivers and creeks weave through much of our land, and we have bustling ports in Lagos, Port Harcourt, Onne, Warri, and Calabar. Ships arrive every day, bringing in the rice we eat, the cars we drive, and the phones in our hands. They also leave, carrying our crude oil aboard. Every one of those ships represents money for the owners, the crew, the insurers, the repair services, the financiers, and those who hold the cargo. The big question is: HOW MUCH OF THAT MONEY STAYS IN NIGERIA?
World Maritime Day was recently celebrated, and I took some time to learn about a remarkable individual who has been asking that very question for nearly 50 years - Dr. Olisa Agbakoba, SAN. You might know him as the former President of the Nigerian Bar Association or as a human rights lawyer. But many do not realise he is a key figure in the history of Nigeria's maritime law.
The Law that Says “Nigerian Waters, Nigerian Ships”
Imagine you are traveling from Lagos to Ibadan, but every bus on that route is owned by a foreigner, driven by a foreigner, and the money you pay ends up abroad. That is a bit like what was happening on our waters. Goods and people were moving between Nigerian ports, yet much of that business was not in Nigerian hands.
In 2003, Nigeria passed a law to change that: the Coastal and Inland Shipping (Cabotage) Act. In plain English, if you're moving goods or people from one point in Nigerian waters to another, the ship should be Nigerian. Owned by Nigerians. Crewed by Nigerians.Dr. Agbakoba authored the consultation paper that led to this law. Now, twenty-three years later, it remains the foundation of Nigeria's efforts to keep coastal business in the hands of its citizens.
Is an Oil Rig a Ship?
This one is interesting, so keep reading. An oil rig floats on water and sometimes moves from one location to another. So, is it a ship? If an oil rig counts as a "vessel" under the Cabotage Act, then all those rules about ownership and crew apply to offshore drilling as well. In the case of Seadrill Mobile Units Nigeria Limited v. Honourable Minister for Transportation & Ors, Dr. Agbakoba made this very argument. The Federal High Court sided with him in June 2019. This matter is still being debated among lawyers.
Dr. Agbakoba has served as Deputy Chairperson of the Presidential Committee on Maritime Sector Reform and Vice-Chairman of the Presidential Committee on the Review of the Maritime Sector. He played a key role in the Nigerian Marine and Blue Economy Policy 2024 and helped shape what eventually became the Federal Ministry of Marine and Blue Economy. He continues to advise the government on these matters today.
What does "Blue Economy" mean? It refers to all the money a country can generate from its seas and waterways, shipping, ports, fishing, offshore energy, shipbuilding, tourism, and more.
THE BIG ₦70 TRILLION
Recently, Dr. Agbakoba wrote a formal letter to the Minister of Marine and Blue Economy, highlighting an incredible opportunity for Nigeria. In this letter, along with a policy paper, he proposed that Nigeria could potentially unlock up to ₦70 trillion annually from the maritime sector. To put that in perspective, our current public debt is about ₦159 trillion. Just imagine those numbers side by side for a moment.
So, how can we achieve this? Dr. Agbakoba suggests passing nine new laws, including a Blue Economy Act, a Marine Spatial Planning Act (basically a proper map of who can do what, and where, in our waters), a Coast Guard Establishment Act, and a legal framework for ships that sail without crew.
Amendments to 7 existing laws, including the Cabotage Act itself, the NIMASA Act and the Merchant Shipping Act.
He is also pushing for the Cabotage Vessel Financing Fund to finally be activated. This fund is designed to help Nigerian shipowners purchase ships, ensuring they can compete effectively. It is pointless to have a law that mandates the use of Nigerian ships if the shipowners cannot afford them.
This year, the theme for World Maritime Day is “From Policy to Practice.”
We are experts at creating policies. Beautiful documents, grand ceremonies, yet too often, nothing happens afterward. Those policies end up gathering dust while real issues persist.
What makes Dr. Agbakoba’s work in the maritime space so compelling is his insistence on moving ideas from paper to reality. A consultation paper transformed into an Act of the National Assembly. A dialog evolved into a Federal Ministry. His letter to the Minister came equipped with the actual laws needed.
At the recent Maritime Industry Merit Awards, he was honored as Maritime Attorney of the Year, and it is a well-deserved accolade. He is also the Founding President of the Nigerian Chamber of Shipping.
Now, I’d love to hear your thoughts on a few things:
Should an oil rig be classified as a ship under Nigerian law? Why or why not?
If you work at the ports, in shipping, or in logistics, what is the ONE thing currently hindering business?
If Nigeria could truly generate even half of that ₦70 trillion from the sea, what priorities would you want that money to address first?
Feel free to share this with someone in shipping or a friend who thinks Nigeria counts solely on oil.
#WorldMaritimeDay #BlueEconomy #FromPolicyToPractice #Cabotage
Source: "World Maritime Day: The Architect of a Maritime Nation" (full document attached) https://www.facebook.com/share/p/1CVLKHVAfw/ 
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