Nigeria attracted $23bn in capital inflows in 2025, with its foreign exchange reserves also exceeding $50bn. Despite these figures, the Federal Government says investor confidence will depend largely on strong institutions, reliable contract enforcement and efficient mechanisms for settling commercial disputes.
The Minister of Industry, Trade and Investment, Dr Jumoke Oduwole, made this known on Monday at the third annual Multi-Door Courthouses and Alternative Dispute Resolution Stakeholders’ Summit in Lagos. She maintained that favourable economic performance must be supported by a business environment where commercial disagreements can be resolved fairly, promptly and predictably.
The summit, attended by government officials and judicial leaders, focused on strengthening alternative dispute resolution (ADR) as a means of protecting investments and improving the country’s business climate. It was themed, “Investor Confidence and ADR: Strengthening Nigeria’s Investment Climate.”
Oduwole reported that capital importation recorded an 83 per cent year-on-year increase, climbing from $5.5bn in the first quarter of 2025 to over $10bn in the same period of 2026.
She also disclosed that the economy grew by more than four per cent in 2025, maintaining a rate above that level during the first half of 2026. Inflation, meanwhile, fell from 33.2 per cent in 2024 to 14.63 per cent in September 2026.
The minister further revealed that non-oil exports had exceeded $6bn, while the creative and digital economy contributed approximately 18 per cent to Nigeria’s Gross Domestic Product.
However, she cautioned that economic opportunities and favourable statistics were not enough to secure investors’ commitment. According to her, investors also examine the strength of institutions, the transparency of regulations and the ability of the justice system to handle commercial disputes effectively.
“Investor confidence is not built by opportunity alone. Investors also consider the reliability and responsiveness of our institutions, the clarity of our regulations, the enforceability of contracts, and their ability to resolve commercial and investment disputes fairly and efficiently,” she said.
Oduwole added that the government intended to attract capital into productive areas such as manufacturing, infrastructure, processing and other enterprises, rather than concentrating investment efforts solely on portfolio investments.
The Attorney-General of the Federation and Minister of Justice, Mr Lateef Fagbemi, SAN, said arbitration and mediation were important tools for strengthening investor trust, limiting investment risks and promoting long-term economic development.
He disclosed that the Federal Government was pursuing reforms to improve the country’s arbitration and ADR system. These efforts include reviewing the existing arbitration framework, establishing a National Committee on the Review of the Arbitration and Mediation Act 2023, and developing a National Policy on Arbitration.
According to Fagbemi, the initiatives are intended to make Nigeria a leading destination for arbitration in Africa.
He also recognised the Lagos Multi-Door Courthouse as Africa’s first court-connected alternative dispute resolution centre.
Citing former United Nations Secretary-General Kofi Annan, the attorney-general said, “Litigation may win cases, but mediation wins peace”.
He called on stakeholders to strengthen dispute resolution institutions and processes, noting their role in advancing economic development and enhancing Nigeria’s capacity to handle international commercial disputes.
In his remarks, the Chief Judge of Lagos State, Justice Kazeem Alogba, disclosed that the Lagos Multi-Door Courthouse had recorded settlements or recoveries amounting to N86.85bn over five years.
He said the figure reflected the financial benefits of ADR, which enables businesses and individuals to recover funds that might otherwise remain tied up in lengthy court cases.
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