September 21, 2022 – San Francisco, California
As part of a drive to boost its contribution to the Nigerian economy, Lekki Free Zone Development Company (LFZ) is in talks with Gluwa, a blockchain technology company.
The pair are looking to partner and use blockchain to promote commercial collaboration, growth, and sustainability between new and existing “free zone” institutions. The partnership will also explore the creation of a virtual free zone within the Lekki Free Zone.
Tomiwa Idowu, Head of Strategy, Innovation and Special Ventures at Lekki Free Zone, revealed that discussions are underway between the LZF, the Nigerian Export Processing Zones Authority and the Gluwa team.
In a statement, Idowu explained that the partnership, upon completion, will create a dashboard to tokenize commodities into non-fungible tokens (NFTs) and provide digital asset-backed loans to new and existing organizations looking to fund operations and/or expand their businesses.Similar to OpenSea and Compound integration.
Idowu shared his vision of innovation in the commercial and industrial sector in Nigeria and Africa as a whole, bringing it into the modern information age with the Lekki Free Zone at the epicenter.
“I am very excited about the huge potential of this partnership, which will strengthen Lagos State as a sub-national leader in Africa in terms of innovation, economic development and revenue generation.”
He commended the Governor of Lagos State, Babajide Sanu Ulu, as a beacon of progress and hope for the nation at large, adding:
“Our governor has always been a firm believer in fast-paced development, which involves using technology to bypass bureaucracy and go straight to solving urgent problems.”
Tai Oh, CEO of Gluwa, noted that the company is keen to partner with the Lekki Free Zone as it is the largest and most developed free zone in Nigeria near the deep sea port as well as the Dangote Refinery.
oh he said,
“Trade has been the bedrock of the Nigerian economy, with annual trading volumes running into billions of dollars.”
We believe that digitizing the sector can allow us to harness its full potential. For example, a standard process for digitizing goods manufactured or processed within the region combined with the Web 3.0 marketplace system will allow manufacturers to trade globally via the blockchain.
All trades will be recorded and benefit from Leakey Free Zone incentives, such as no taxation and free circulation of goods. Once the goods are settled for export by the customs processing center in the zone, they will be shipped directly from the Lekki Free Zone via the deep sea port.
“This will reduce delays, eliminate human error, significantly increase Nigeria’s non-oil exports and maintain the nation’s positive trade balance. While we are still working on the finer details and a specific framework with NEPZA, we believe it is the future of trade and commerce in Africa.”
Gluwa is an open financing platform, connecting capital from developed markets to emerging market lending opportunities using blockchain technology. Providing decentralized infrastructure bars to raise funds and distribute funds anywhere in the world, investors can use the Gluwa Invest platform to participate in debt financing deals with fintech lenders in emerging markets, earning up to 15% APY.
Aston Lee, Vice President of Business at Gluwa