Nigeria has taken the lead in economic growth and job creation amid Singapore’s expanding trade ties with West Africa, which have surged by 85 percent—from $4.04 billion in 2020 to $7.47 billion in 2024.

A detailed review of this strengthening partnership highlights Nigeria as a major driver of the growth.

According to data from the United Nations Conference on Trade and Development (UNCTAD), Singapore’s total foreign direct investment in Africa exceeded $20 billion by the end of 2023. Nigeria ranks among the continent’s top 10 destinations for such investments.

Singapore’s engagement in Nigeria reflects a distinct approach compared to traditional foreign investment models in the region.

Rather than focusing solely on exporting raw materials, Singaporean businesses prioritize local value addition and sustainable development. This strategy is exemplified by companies such as Tolaram Group and Valency, which have received support from Enterprise Singapore. These firms operate in the Lagos Free Trade Zone, where they have established manufacturing and processing plants—particularly in Nigeria’s agricultural commodities sector.

Their presence is enhancing Nigeria’s industrial capacity, generating employment, and boosting the local economy.

Unlike typical investors who export resources for processing abroad, Singapore-backed ventures aim to keep more of the production value chain within Nigeria. This inclusive approach supports sustainable job creation, workforce development, and stronger domestic markets.

Trade between Nigeria and Singapore from 2020 to 2024 has experienced notable fluctuations. It stood at $727.2 million in 2020, rose sharply to $1.28 billion in 2021, then declined to $712.1 million in 2022. The downward trend continued in 2023 with a dip to $410.8 million, before rebounding to $679.1 million in 2024.

These trends reflect a shifting trade dynamic and a maturing investment landscape between the two countries.

Despite these variations, Singapore’s continued focus on sectors that foster sustainable growth demonstrates its long-term commitment to the Nigerian market. Analysts note that Nigeria’s central role in West Africa’s economy makes it an attractive partner for forward-looking investment strategies.

Singapore’s model of engagement may serve as a blueprint for how international collaborations can align profitability with the development priorities of host countries.