One of the continent’s leading oil and gas producers, Nigeria, is aiming to unlock US$50 billion in capital through a new business-friendly investment framework and a package of tax incentives.

CNBC Africa reports that the new fiscal and regulatory framework has been approved by Nigerian President Bola Tinubu and aims to replace project-specific negotiations for the industry.

It is hoped the new framework will kickstart offshore developments including Shell’s long-delayed US$10 billion Bonga South West project, which is expected to reach a final investment decision in 2027.

The new rules-based framework will also allow state oil company NNPC to change eligible production-sharing contracts and to require qualifying projects to execute certain project elements locally including engineering, manufacturing, maritime logistics, technical services and project management. It is hoped the policy will create more local jobs and improve local supply chains.

The 2026 Deepwater Oil and Gas Project Incentive Order seeks to address investor concerns over high costs, tax conditions and uncertainty.

Existing concessions that reach investment decision by the end of  2029 will also be able to access the new tax incentives.

At the same time, the country has launched a digital portal to enable a more efficient and transparent process for compliance certification for local content.

According to Emmanuel Yusu, the MD of the Nigerian Content Development Fund, the portal  is expected to ‘cut certificate processing time from weeks to days. Allow online applications without physical visits or paperwork. Provide instant status updates, eliminating uncertainty. Enable regulators to verify compliance in real time. Create a single digital record that investors and lenders can trust’.

18 August 2026
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