Nigeria's new law tackles bottlenecks in doing business

Nigeria's President, Muhammadu Buhari, has signed the business facilitation bill 2022 into law, thereby introducing the Omnibus bill. The new law is expected to enhance ease of doing business reforms across the country. Jumoke Oduwole, the Special Advisor to the President on ease of doing business and the Secretary of the Presidential Enabling Business Environment Council, recently joined CNBC Africa to delve into the implications of this groundbreaking legislation. The Omnibus bill, as Oduwole explained in the interview, is a comprehensive reform that amends a multitude of regulations simultaneously. It aims to streamline processes and remove bottlenecks efficiently. This monumental bill encompasses amendments to 21 laws, including acts such as the Companies and Allied Matters Act, the Customs and Excise Management Act, and the Export Promotion Act. The meticulous crafting of this legislation stemmed from extensive collaboration between public and private sector entities, ensuring a holistic update to Nigeria's business laws. One significant aspect of the Omnibus bill is its alignment with Executive Order 001, signed in 2017 to enhance transparency and efficiency in public service delivery. By addressing regulatory hurdles and enhancing transparency, the new law aims to foster a more conducive environment for small and medium-sized enterprises (SMEs). The legislation specifically targets the needs of SMEs by addressing bureaucratic challenges and streamlining regulatory processes that hinder their growth. Noteworthy provisions within the Omnibus bill include the transition to legally recognized electronic certificates for company registration, reduction of processing times from weeks to days, and simplification of interactions with government agencies like immigration services. These changes aim to significantly lower the time and cost barriers faced by SMEs, thereby boosting their operational efficiency and competitiveness. Another critical area of focus under this legislation is the facilitation of credit access for SMEs. Oduwole highlighted previous legislative efforts, such as the Credit Reporting Act and the Central Bank of Nigeria's movable properties registry, aimed at enhancing credit availability to the MSME sector. By creating a conducive legislative and regulatory environment, the Omnibus bill seeks to further empower SMEs to access credit and fuel their business growth. The conversation also touched upon the sustainability of ongoing reforms beyond the current administration. Oduwole emphasized the importance of institutionalizing reforms to ensure their longevity and impact. The alignment of the Omnibus bill with Executive Order 001 signifies a significant step towards securing the continuity of business reforms beyond political transitions. By enshrining key reform principles into law, Nigeria aims to create a lasting framework that fosters a supportive business ecosystem for all enterprises, especially SMEs. The collaborative effort between public and private sector stakeholders, coupled with the legislative backing of the Omnibus bill, sets a strong foundation for sustainable business development in Nigeria.