Several pivotal moments in 2024 significantly shaped the justice and socio-political development of Nigeria.
The 1999 Constitution (as amended), along with other associated laws and regulations, provides legal guidelines for implementing the rule of law and fulfilling constitutional responsibilities across politics, business, and the economy.
Here are notable developments from the justice and political sectors that impacted Nigeria’s economy:
Q1
1) President Tinubu Signs N28.7 Trillion 2024 Budget into Law (January)
On January 1, 2024, President Bola Tinubu signed the N28.7 trillion 2024 appropriation bill into law. Christened the ‘Budget of Renewed Hope,’ the President stated that the bill would ensure macroeconomic stability, poverty reduction, and greater access to social security, among other objectives.
Context:
In late November 2023, President Tinubu presented the 2024 budget estimates of N27.5 trillion to the National Assembly. The Assembly subsequently passed the bill, raising its size by N1.2 trillion to N28.7 trillion.
- Statutory Transfers: N1.74 trillion
- Debt Servicing: N8.27 trillion
- Recurrent Expenditure: N8.76 trillion
- Capital Expenditure: N9.99 trillion
Why It Matters:
The constitution mandates every federal or state government to operate from an approved budget, which drives projects across all three arms of government.
2) Supreme Court Grants Sole Control of All Inland Waterways to FG (January)
In a landmark verdict on January 8, 2024, the Supreme Court ruled that the Federal Government has exclusive control over all waterways in Nigeria, including the authority to levy and license operators in the sector.
Context:
The matter originated from a 2012 lawsuit, marked FHC/L/CS/543/2012, challenging multiple charges by both Federal and Lagos State agencies.
The Federal High Court in Lagos initially ruled in 2014 that all waterways fell under the Federal Government’s purview.
However, the Court of Appeal overturned this decision, granting Lagos State authority over waterways within its borders. The Supreme Court later reinstated federal control.
Why It Matters:
This landmark ruling resolved a long-standing jurisdictional dispute, affirming federal authority over Nigeria’s waterways.
3) Court Directs Binance to Release Nigerians’ Data to EFCC over Alleged Terrorism Financing (March)
The Federal High Court in Abuja directed Binance Holdings Limited to provide the Economic and Financial Crimes Commission (EFCC) with comprehensive data on Nigerian users trading on its platform.
Context:
The EFCC filed an ex parte motion in February 2024, citing alleged criminal activities linked to Binance’s operations.
Nigeria has one of the highest crypto adoption rates globally, with over 22 million active users.
The investigation, led by the National Security Adviser’s office, classified cryptocurrency trading as a national security issue, drawing attention to Binance.
Why It Matters:
The case marked the Federal Government’s intensified regulatory scrutiny of crypto platforms, a trading system heavily utilized by Nigerians.
Q2
4) Nigeria Air: EFCC Indicts Sirika for Awarding Multi-Billion Contracts to Daughter, In-Law, Others (May)
On May 9, 2024, the EFCC indicted former Aviation Minister Hadi Sirika over alleged contract fraud involving his daughter, in-law, and other individuals in connection with the Nigeria Air project.
Context:
The Nigeria Air deal, touted as another flagship national airline, faced cancellation in August 2023 after being revealed as a sham.
Following investigations, the EFCC arraigned Sirika on fraud charges.
He denies the allegations, and the case is pending .
Why It Matters:
This development demonstrates the EFCC’s prosecutorial objectivity, even targeting officials from the ruling party.
5) Judge Rules CBN Can Request Social Media Handles as Part of KYC (May)
On May 16, 2024, the Federal High Court in Lagos upheld a CBN directive requiring banks to collect customers’ social media handles as part of their Know-Your-Customer (KYC) process.
Context:
A Lagos-based lawyer had challenged the regulation, alleging it violated Section 37 of the 1999 Constitution, which protects citizens’ privacy.
However, the court ruled that social media handles are equivalent to other contact details like email addresses and phone numbers.
Why It Matters
This ruling clarifies KYC requirements, granting financial institutions authority to track customer information through social media handles. The verdict is subject to appeal.
6) AU Ministers Adopt Continental AI Strategy for Digital Transformation in Nigeria and Other African Countries
In June, African ICT and Communications Ministers under the African Union (AU) unanimously endorsed a “Continental Artificial Intelligence (AI) Strategy” and an “African Digital Compact” to accelerate Africa’s digital transformation. These initiatives aim to unlock the potential of new digital technologies across Nigeria and other African nations.
Over 130 African ministers and experts, including Nigerians, virtually convened from June 11 to 13, 2024, for the AU’s 2nd Extraordinary Session of the Specialized Technical Committee on Communication and ICT.
Context:
The Continental AI Strategy was designed to help African countries harness artificial intelligence to achieve the continent’s development aspirations and enhance the well-being of its citizens.
This meeting followed the AU’s call for developing countries to have greater representation and influence within global AI governance structures.
Why It Matters:
This development is a significant step for Africa, as the AU’s endorsement has paved the way for AI adoption in public and private sectors across the continent.
7) SEC Declares Crypto Firms Without Offices in Nigeria Illegal Under New Onboarding Framework (June)
In June, Nigeria’s Securities and Exchange Commission (SEC) announced new eligibility requirements under its “Accelerated Regulatory Incubation Programme” (ARIP) for onboarding Virtual Assets Service Providers (VASPs).
A key provision mandates that VASPs establish an office in Nigeria to operate legally.
In a circular dated June 21, 2024, titled “Framework on Accelerated Regulatory Incubation Program (ARIP) for the Onboarding of Virtual Assets Service Providers (VASPs),” the SEC directed all current and prospective VASPs, including crypto brokers and dealers, to register via the SEC ePortal within 30 days.
Context:
The regulatory tightening followed testimony from Abdulkadir Abbas, a director at SEC, who informed the Federal High Court in Abuja that unregistered cryptocurrency exchange platforms use Naira peer-to-peer (P2P) virtual features to devalue the Nigerian currency.
Why It Matters:
The SEC’s move aligns with the administration’s goal of achieving a $1 trillion economy by setting stricter standards for capital raising and improving oversight of crypto usage in Nigeria.
Q3
8) NUPRC Announces Completion of Oando’s Acquisition of Nigeria Agip Oil Company (July)
On July 3, 2024, the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) announced the completion of Oando PLC’s acquisition of 100% shares in the Nigerian Agip Oil Company Limited (NAOC Ltd).
Oando’s management described the transaction as a milestone for its future, highlighting the crucial role indigenous actors will play in Nigeria’s upstream sector.
Context:
The acquisition process faced delays due to strict compliance requirements, including financial capacity, technical capability, legal and regulatory compliance, host community issues, environmental fund contributions, and labour relations.
NUPRC Chief Executive, Engr. Gbenga Komolafe, acknowledged the complexities involved in obtaining the necessary approvals for the deal.
Why It Matters:
This development underscores the federal government’s efforts to support indigenous ownership in Nigeria’s oil and gas sector while advancing its divestment plans for foreign oil companies.
9) Supreme Court Grants Full Financial Autonomy to 774 Local Government Areas (July)
On July 11, 2024, the Supreme Court of Nigeria granted full financial autonomy to the 774 local government areas (LGAs) in the country, directing that funds allocated to LGAs in the federation account be transferred directly to their accounts to support grassroots development.
Context:
The ruling sought to enforce constitutional provisions that empower LGAs to manage their funds independently. This landmark decision followed a case led by the Attorney General of the Federation, Lateef Fagbemi SAN, challenging the joint account system between states and LGAs, which governors had controlled for decades.
The Supreme Court ordered that 20.6% of the federation account allocation be paid directly to LGAs, bypassing state governments.
Why It Matters:
This final ruling empowers LGAs with direct access to funds, fostering grassroots development and curbing financial exploitation by state governments.
10) FCCPC Imposes $220 Million Penalty on Meta Platforms Over Discriminatory Practices (July)
In July, the Federal Competition and Consumer Protection Commission (FCCPC) imposed a $220 million penalty on Meta Platforms Incorporated for alleged discriminatory practices against Nigerian consumers and data users.
Context:
The penalty followed a joint investigation by the FCCPC and the Nigeria Data Protection Commission (NDPC) into Meta’s privacy policies and operations between May 2021 and December 2023.
Why It Matters:
This is one of the largest penalties ever imposed on a foreign company operating in Nigeria by Nigerian authorities .
With approximately 55 million Nigerians using Meta’s platforms, the fine underscores Nigeria’s commitment to protecting consumer rights.
The matter is currently being contested at the Competition and Consumer Protection Tribunal in Abuja.
Q4
13) Tinubu Approves Fringe Benefits Law for Judicial Officers in Nigeria
On August 13, 2024, President Bola Ahmed Tinubu signed into law the Judicial Office Holders’ Salaries and Allowances Bill, 2024. The bill proposes new remuneration packages for judicial officers, enabling judges to access fringe benefits and other allowances.
Context:
An upward review of budgetary allocations for the judiciary had been a long-standing request by the National Judicial Council and the Nigerian Bar Association.
Former Chief Justice of Nigeria, Olukayode Ariwoola, had previously stated that inadequate funding was crippling the rule of law in Nigeria and other West African countries.
Why It Matters:
The bill is considered the Federal Government’s response to years of advocacy from the justice sector.
Statutory transfers to the judiciary were increased from N165 billion to N342 billion in 2024, nearly doubling judicial officers’ remuneration and enhancing their working conditions.
14) FG Sues Four Nigerian Crypto Dealers for Trading USDT Against Naira Without Banking Licenses
Nairametrics reported on September 10, 2024, that the Federal Government of Nigeria filed criminal charges against four Nigerian crypto dealers and several firms for allegedly operating financial businesses without valid banking licenses, including conducting USDT-to-Naira transactions.
Context:
The case stems from an EFCC investigation, which revealed that several bank accounts were linked to individuals using virtual cryptocurrency exchange platforms to illegally manipulate the value of the Naira and launder proceeds from unlawful activities.
Why It Matters:
These lawsuits marked the beginning of a nationwide legal clampdown on illegal cryptocurrency trading in Nigeria, signaling the government’s commitment to regulate the digital currency space.
15) Senate Passes Bill Increasing Minimum Capital for All Insurance Companies in Nigeria
On December 4, 2024, the Senate passed the Nigerian Insurance Industry Reform Bill, 2024, which increases the minimum capital requirements for all insurance companies operating in Nigeria.
Context:
The bill mandates that no individual or entity may conduct insurance business in Nigeria without maintaining the newly prescribed minimum capital levels.
The passage followed the adoption of a report by the Committee on Banking, Insurance, and Other Financial Institutions during a plenary session.
Context
The previous insurance legislation, which had been in place for nearly two decades, was deemed (by lawmakers) outdated and ill-suited to address contemporary challenges.
Why It Matters:
The new bill provides a modern regulatory framework that promotes growth, innovation, and competitiveness in Nigeria’s insurance sector, replacing outdated legislation.
16) Supreme Court Dismisses Governors’ Suit Against EFCC, ICPC, and NFIU Powers to Fight Financial Crimes
On December 15, 2024, the Supreme Court upheld the prosecutorial powers of the Economic and Financial Crimes Commission (EFCC), the Nigerian Financial Intelligence Unit (NFIU), and the Independent Corrupt Practices Commission (ICPC).
The court dismissed a suit filed by several governors challenging the powers of these anti-graft agencies to probe funds approved by state lawmakers.
Context:
The governors had argued that the EFCC Act, ICPC Act, and NFIU Act could not be used to criminalize the management of state and local government funds. They also contended that these agencies lacked the authority to investigate or prosecute individuals handling such funds.
But the Attorney General of the Federation (AGF) urged the Supreme Court to uphold the anti-graft agencies’ fight against corruption, a plea that the apex court ultimately granted.
Why It Matters:
This landmark ruling reinforces the jurisdiction of anti-graft agencies to investigate and prosecute cases involving state funds, silencing disputes over their authority.