In a landmark move aimed at strengthening economic ties and unlocking cross-border investment opportunities, Nigeria and Rwanda on Tuesday signed an Agreement on the Avoidance of Double Taxation and the Prevention of Fiscal Evasion with Respect to Taxes on Income.
The signing ceremony, held in Abuja on the sidelines of the Afreximbank Annual Meetings, was led by Nigeria’s Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun, and his Rwandan counterpart, Mr. Yusuf Murangwa, Minister of Finance and Economic Planning.
Mr. Edun described the agreement as a critical milestone in Nigeria’s ongoing economic reform agenda and a practical step toward improving the country’s investment climate. He noted that the treaty complements recent progress in tax reform, including the passage of four landmark tax bills under the administration of President Bola Ahmed Tinubu.
“This agreement is a critical tool for promoting cross-border investment, ensuring tax certainty, and eliminating the risk of being taxed twice on the same income,” Edun said.
“It supports our broader objective of unlocking private sector capital, accelerating intra-African trade, and positioning Nigeria as a competitive destination for investment under the African Continental Free Trade Area (AfCFTA).”
The treaty aligns with international standards and is expected to streamline tax administration between both countries, enhance transparency, and offer greater protection for taxpayers. It will also help reduce tax avoidance loopholes and curb fiscal abuse, thus encouraging responsible investment and compliance.
By easing tax burdens on individuals and companies operating in both Nigeria and Rwanda, the agreement is projected to increase investor confidence in sectors such as technology, finance, agriculture, and logistics — all vital for economic diversification and job creation.
Rwanda’s Finance Minister, Mr. Yusuf Murangwa, praised the agreement as a reflection of growing economic cooperation and a shared vision for Africa’s development.
“This agreement is a testament to the strong partnership between Rwanda and Nigeria, and a critical step in creating a unified, investor-friendly Africa. We believe this will serve as a model for deeper regional integration and shared prosperity,” he said.
Both ministers acknowledged the dedicated efforts of their technical teams, whose diligence and expertise laid the groundwork for the treaty.
With this agreement, Nigeria continues to demonstrate its commitment to economic modernization, investor protection, and the larger goal of building a more integrated and resilient African economy.
