President Bola Ahmed Tinubu has approved a sweeping new economic policy known as the Renewed Hope Nigeria First Initiative, which bars all Ministries, Departments, and Agencies (MDAs) of the federal government from procuring foreign goods or services already available locally. The directive, which received full approval during the fifth Federal Executive Council (FEC) meeting of 2025 held at the Presidential Villa in Abuja, is aimed at revitalizing Nigeria’s local industries, reducing import dependency, and ensuring that government spending directly supports the domestic economy.
Briefing journalists after the meeting, Minister of Information and National Orientation, Mohammed Idris, said, “This is a major shift in government policy. It puts Nigeria—not foreign companies, not imports—at the heart of our national development.”
The new policy mandates that no procurement involving foreign goods or services will be approved unless the MDA involved secures a written waiver from the Bureau of Public Procurement (BPP), and only in cases where it is proven that local alternatives do not exist. Idris emphasized the government’s commitment to self-reliance, stating, “This policy seeks to foster a new business culture that is bold, confident, and very Nigerian. It aims at making government investment directly benefit our people and industries by changing how we spend, how we procure, and how we build our economy.” He added that the directive will be backed by an Executive Order, which the Attorney-General of the Federation has been instructed to prepare in order to give the policy full legal effect.
The BPP has been tasked with immediately revising procurement guidelines to align with the policy and developing a compliance framework that will ensure adherence across all MDAs. It will also maintain a database of high-quality Nigerian manufacturers and service providers. In a bid to enhance accountability, all procurement officers currently assigned to MDAs will be withdrawn and reassigned to the BPP to centralize oversight and reduce the risk of abuse or corruption. “No procurement of foreign goods or services already available locally shall proceed without justification and a written waiver from the BPP,” Idris warned.
In cases where foreign contracts are deemed absolutely necessary, the policy requires that such agreements must include elements of technology transfer, domestic production partnerships, or skills development to benefit Nigerian workers and industries. The minister cited the sugar sector as an example where the country continues to rely on imports despite having local producers and the Nigerian Sugar Council in place. “We continue to import sugar despite the existence of the Nigerian Sugar Council and several local producers. This policy will change that,” he said.
He further noted that the days of contractors acting merely as middlemen for imported products are over, adding, “Contractors will no longer be mere intermediaries sourcing foreign goods while Nigerian factories lie idle. Government money must now work for the Nigerian people.” To ensure immediate compliance, all MDAs have been directed to review and update their procurement plans to align with the new policy, with disciplinary measures awaiting those who fail to comply. “Breaches will attract consequences, including cancellation of procurement processes and disciplinary action against responsible officers,” the minister cautioned.
The Renewed Hope Nigeria First Initiative is coming amid a broader set of economic reforms being championed by the Tinubu administration, including subsidy removal, foreign exchange liberalisation, and investor confidence initiatives. In addition to the policy’s approval, the FEC also gave the green light for Nigeria to become a non-regional member of the Asian Infrastructure Investment Bank (AIIB). Minister of Finance and Coordinating Minister of the Economy, Wale Edun, revealed that Nigeria has completed all formal requirements and paid for 50 shares worth $100,000 each, totaling $5 million. “It is set up to promote infrastructure development and genuine sustained economic growth in all its members,” Edun said. He added that President Tinubu remains committed to macroeconomic reforms that have already begun to yield promising results.
