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Nigeria’s road transport sector is set for major restructuring after a high-level stakeholder meeting convened by the Office of the Vice President in Abuja on Monday.
The gathering brought together federal ministries, regulators, transport unions, banks and development partners to launch the Initiative on Road Transport Transformation.
Road transport carries more than 90 per cent of the country’s passengers and freight, yet the transport and storage sector contributes only 1.56 per cent to GDP.
Officials described the figure as unsustainable and a barrier to broader economic growth.
Dr Tope Fasua, Special Adviser to the President on Economic Affairs, represented the Vice President and outlined five priorities: road safety and professional driver development; digital systems for vehicles, drivers and infrastructure; modernisation of the national road network; better private-sector management; and stronger coordination among federal, state and local governments.
He said President Bola Tinubu’s administration aims to turn the sector’s challenges into opportunities through infrastructure, reforms, digital innovation and cleaner energy.
Prince Segun Obayendo, Technical Adviser on Transportation, Logistics and Innovation, noted that Germany, France and the United Kingdom formalised their transport sectors in the 1930s.
Nigeria, he said, is nearly a century behind.
He stressed that the National Road Safety Advisory Council, chaired by Vice President Kashim Shettima, will oversee the initiative without creating a new agency.
Desk officers from existing state and local government staff will support implementation.
Obayendo called for single-digit interest rates for fleet renewal, warning that commercial loans of 30–33 per cent keep vehicles ageing and unsafe.
He also urged stronger driver licensing, better data systems and wider use of compressed natural gas.
Stakeholders proposed a multi-sector technical committee to design an integrated governance framework. Success, Vice President Shettima has said, will be measured by lives saved, system efficiency, dignity for transport workers and national prosperity.
The initiative now awaits formal endorsement and the committee’s recommendations.
