Nigeria, Saudi Arabia sign agreement to explore $7.7trn halal market

The Federal Government has signed a cooperation agreement with Saudi Arabia’s Halal Products Development Company (HPDC) to explore the $7.7 trillion global halal market.

This is contained in a statement issued by Stanley Nkwocha, Senior Special Assistant to the President on Media & Communications, Office of The Vice-President, on Thursday in Abuja.

The agreement will facilitate investment, technical cooperation, and market access in key sectors, including food production, pharmaceuticals, finance, and livestock.

The exercise was executed with HPDC, a Saudi Public Investment Fund subsidiary, represented by its CEO, Fahad Alnuhait.

Saudi Arabia’s Minister of Commerce, Dr Majid bin Abdullah Al-Qasabi, and the Chairman of the Makkah Halal Forum’s Organising Committee, Fawaz bin Talal Al-Harbi, witnessed it.

Also present was the Makkah Chamber of Commerce and Industry Chairman Abdullah bin Saleh Kamel.

While signing the agreement at the Makkah Halal Forum in Saudi Arabia, Vice President Kashim Shettima said the partnership represented a game-changing opportunity to transform Nigeria into a global halal economy powerhouse.

Shettima, represented by the president's Deputy Chief of Staff, Sen. Ibrahim Hadejia, added that the collaboration was an important step in Nigeria’s ambition to enter the lucrative halal market.

The vice president also said the partnership would establish Nigeria as a leading global player in the halal market.

Shettima said, “We are committed to leveraging this collaboration to create jobs, attract foreign investment, and diversify our economy in accordance with President Bola Ahmed Tinubu's Renewed Hope Agenda.”

Also, Aliyu Sheriff, the Special Assistant to the President on Export Promotion, said the partnership was built on Nigeria’s growing Islamic finance sector.

According to him, the sector has seen success through Sukuk bonds for infrastructure financing and the establishment of Islamic banks like Jaiz, Taj and Lotus Banks.

Sheriff explained that the Islamic Development Bank (IsDB) and the Arab Bank for Economic Development in Africa (BADEA) would support the initiative through capacity building, regulatory framework development, and financing opportunities.

“This agreement aligns perfectly with the Renewed Hope Agenda by creating new jobs, attracting foreign direct investment, and diversifying our economy.

“The halal economy extends beyond Muslim consumers. Non-Muslim majority countries like Brazil, Australia, and Thailand are already leveraging the sector for substantial export growth,” he said.