Nigeria, Hong Kong sign double taxation agreement to boost trade and investment

Nigeria and the Hong Kong Special Administrative Region of the People’s Republic of China have signed a Double Taxation Agreement (DTA) aimed at eliminating double taxation on income, preventing tax evasion and avoidance, and strengthening economic cooperation between both jurisdictions.

The agreement was signed during a virtual ceremony on Monday by Nigeria’s Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, and Hong Kong’s Secretary for Financial Services and the Treasury, Christopher Hui.

According to a statement issued by the Finance Ministry on Tuesday, the treaty is expected to provide greater certainty for businesses and investors operating across Nigeria and Hong Kong while supporting increased trade and investment flows.

What they are saying

Speaking during the signing ceremony, Oyedele described the agreement as a significant milestone in the expanding economic and commercial relationship between Nigeria and Hong Kong.

He said the treaty reflects Nigeria’s commitment to creating a transparent, predictable, and investor friendly tax environment that supports trade, investment, and sustainable economic growth.

According to him, although the ceremony was held virtually, its significance underscores the commitment of both jurisdictions to strengthening economic cooperation and creating a more conducive environment for cross border trade and investment.

• “This agreement comes at a time when Nigeria is seeking deeper integration into global value chains while expanding its economic partnerships across Asia,” he said.

He described Hong Kong as a leading international financial and commercial hub, adding that the treaty would facilitate greater engagement between the private sectors of both economies and create new opportunities for mutually beneficial partnerships.

More insights

While the full details of the agreement were not disclosed in the statement, the Ministry of Finance said the agreement is designed to eliminate the double taxation of income earned in both jurisdictions while preventing tax evasion and tax avoidance.

It explained that the treaty is expected to reduce tax related barriers for companies operating in both markets, improve certainty for investors, and enhance cross border business activities.

• The agreement also forms part of Nigeria’s broader strategy to expand its network of tax treaties as the country seeks to attract foreign investment, promote international trade, and strengthen global tax cooperation.
• Oyedele commended the negotiation teams from Nigeria and Hong Kong for their professionalism and constructive engagement throughout the negotiation process.
• He said their efforts produced a balanced agreement that aligns with international best practices while protecting the legitimate interests of both jurisdictions.

The minister also expressed appreciation to the Government of the Hong Kong Special Administrative Region and other stakeholders whose contributions led to the successful conclusion of the treaty.

What you should know

In a similar development earlier this year, Nairametrics reported that Nigeria and the United Arab Emirates (UAE) also signed a Comprehensive Economic Partnership Agreement (CEPA) aimed at reshaping Nigeria’s trade architecture and expanding global market access for Nigerian businesses and talent.

The agreement was signed in the presence of both Heads of State, signaling a major step in deepening bilateral economic relations between the two countries.

The CEPA introduces tariff elimination on thousands of products and opens access to over 100 service sectors, positioning the UAE as a strategic gateway for Nigerian enterprises into the Middle East and global markets.