Nigeria Ease of Doing Business: Lagos, NCDMB Lead the Way, But Challenges Remain

Lagos State and the Nigerian Content Development and Monitoring Board (NCDMB) are earning plaudits as top performers in Nigeria’s ongoing efforts to improve the ease of doing business. PEBEC’s 2025 Subnational Ease of Doing Business Report shines a light on these successes. Lagos, specifically, secured the top spot, outpacing other states like Kaduna and Oyo. NCDMB also received praise for its commitment to efficient service delivery.

Yet, let’s consider the bigger picture. Are these accolades fully reflective of the reality on the ground for businesses, especially SMEs? Progress is happening, but it’s definitely uneven.
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The PEBEC report highlights key areas evaluated – everything from electricity reliability and digital infrastructure to land administration and trade logistics. The assessment, which spanned from January to October 2025, looked at reforms across 16 indicators and 36 sub-metrics. It’s a detailed snapshot, no doubt.

Still, I’ve seen these types of reports before. They often point to improvements in processes, like digitizing government services or cutting red tape. These are vital steps, certainly. But the real test lies in how these changes impact businesses in their day-to-day operations.

For instance, consider the constant problem of power supply, one of the assessment parameters. While digital systems for paying electricity bills might be more streamlined, consistent power outages can wipe out any gains made elsewhere. Similarly, even if trade logistics appear smoother on paper, corruption at ports can negate these so-called efficiencies.
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PEBEC’s Director-General, Zahrah Audu, rightly points out that transparency, technology, and predictable service delivery are key. The call for states to prioritize investor aftercare, MSME credit support, harmonized trade rules, dispute resolution, and power supply is spot-on. It’s a clear roadmap, yet implementation is where things often get bogged down.

It’s worth noting NCDMB’s consistent recognition. They’ve been named the PEBEC Transparency and Efficiency Champion for the past four years. That level of consistency suggests a genuine commitment to improvement, not just window dressing. Also, NCDMB led the MDA rankings with 90.6 per cent, followed by the NDLEA with 89.3 per cent and the Nigeria Customs Service with 86.6 per cent. The Nigerian Communications Commission and the Nigerian Ports Authority placed fourth and fifth with 85.3 per cent and 84.2 per cent respectively.

Now, regarding the Business Facilitation Act (BFA) Performance Report, it offers insights into federal agencies’ compliance with service-efficiency requirements. NCDMB leading the pack with 90.6% compliance shows a concerted effort. The Nigeria Customs Service and other top-ranked agencies should be applauded for their improvements. However, the real value comes when these improvements translate into tangible benefits for businesses.

One thing that often gets overlooked is the human element. Technology alone won’t solve problems if the people operating the systems aren’t on board. Staff training and a shift in mindset are just as crucial as the latest software.

There’s also the issue of awareness. Many small business owners might not even know about these reforms or how to take advantage of them. Effective communication is crucial to bridge this gap.

Therefore, while Lagos and NCDMB deserve recognition, this is not the time for complacency. The challenge is to translate these high-level achievements into practical, sustainable improvements for all businesses across Nigeria. The focus has to shift from ticking boxes to creating a truly enabling environment where businesses can thrive.

Another angle worth exploring is the regional disparity. The report highlights the most improved states. But what about those lagging behind? What specific challenges are they facing, and how can they be supported? A one-size-fits-all approach won’t work. Tailored solutions that address local realities are necessary.

This requires a deeper dive into the specific barriers to doing business in each region. Is it access to finance, infrastructure deficits, security concerns, or regulatory hurdles? Identifying these pain points is the first step towards crafting effective solutions.

Let’s also think about the role of the private sector. Government initiatives are important, but businesses themselves need to be active participants in driving change. This means engaging in constructive dialogue with policymakers, sharing their experiences, and contributing to the design of business-friendly regulations.

Given these facts, it seems that the journey towards a truly business-friendly Nigeria is far from over. There has been improvement, but sustained effort, collaboration, and a relentless focus on practical outcomes are critical to ensure that Nigeria moves up in the global ease of doing business rankings, not just in reports.

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Keywords: Nigeria ease of doing business, Lagos, NCDMB, PEBEC report, business reforms Nigeria, SME challenges, business environment Nigeria, trade logistics Nigeria