FG seeks deeper state reforms to unlock private sector growth

The federal government has renewed its call for deeper and more coordinated reforms at the state level as part of efforts to unlock private sector growth and strengthen Nigeria’s investment climate.

This formed the crux of discussions at a Peer-to-Peer Learning Workshop for State Commissioners of Commerce and Heads of Investment Promotion Agencies (IPAs), convened by the Presidential Enabling Business Environment Council (PEBEC) under its State Action on Business Enabling Reforms (SABER) Programme.

Speaking at the close of the workshop, Ibrahim Hadejia, Deputy Chief of Staff to the President (Office of the Vice President), emphasised that Nigeria’s economic transformation would largely depend on the effectiveness of reforms implemented at the subnational level.

According to him, while federal policies provide direction, it is within the states that investment decisions are executed, regulatory frameworks are experienced, and economic value is ultimately created.

“Nigeria’s economic transformation will be driven not only by federal policy direction, but by the effectiveness of execution at the subnational level.

“It is within our states that investment decisions are operationalised, regulatory frameworks are experienced, and economic value is ultimately created.

“Our states are not peripheral actors, they are central to the architecture of national competitiveness,” he said, noting that the SABER Programme was designed to incentivise reforms, strengthen institutional capacity, and align state systems with global standards of investment facilitation.

Hadejia highlighted key focus areas discussed during the workshop, including the development of data-driven state investment strategies, improved inter-agency coordination, digitalisation of investor services, and the establishment of effective investment tracking systems.

He reaffirmed the commitment of the administration of President Bola Ahmed Tinubu and Vice President Kashim Shettima to implementing structural reforms that promote private sector growth, expand economic opportunities, and deliver inclusive prosperity.

Also speaking, Zahrah Mustapha, Director-General of PEBEC, said the workshop was designed to bridge gaps between high-performing and lagging states through knowledge sharing and practical learning.

“So we believe that we will start to take steps towards transformation. For Nigeria to grow it has to be holistic. It cannot just be federal policies at the federal level and it cannot just be one or two states excelling.

“We have some states that are clearly excelling and others that may be lagging behind and there’s no better way to show somebody how to do it than by using practical real-life examples,” she said

She explained that PEBEC’s ongoing nationwide engagements and data-driven ranking system provide insights into state-level performance, enabling targeted interventions and continuous improvement.

“Data is key. It helps us understand where we are, what we’ve done right, and what needs improvement,” she said, adding that the Council works closely with state governments, private sector players, and development partners to gather accurate and actionable information.

Mustapha noted that beyond rankings, the Council assesses impact through indicators such as SME growth, job creation, and informal sector participation.

She further disclosed that PEBEC has digitised its processes, enabling real-time support to states through an online portal, while also serving as a repository of best practices for improving the business environment.

The workshop, supported by development partners including the World Bank and British High Commission, brought together key stakeholders to share experiences, build capacity, and strengthen collaboration across states.

Participants were also introduced to templates and practical tools to support reform implementation, with a renewed commitment to translate discussions into measurable outcomes.

The Federal Government reiterated that subnational reform is no longer optional but a strategic imperative, stressing that Nigeria’s overall competitiveness will rise in direct proportion to the performance of its states.