As President Tinubu approves the Ajaokuta Free Trade Zone, and Governor Ododo woos investors, the question now on the mind of Nigerians is what does this mean to the citizens of Kogi state and Nigeria in general?
Join me as we jointly journey along. The elephant has finally begun to move! After decades of the Ajaokuta Steel Complex sleeping like a giant with eyes half-open, President Bola Tinubu has given the green light that could finally wake this industrial slumberer! On Thursday, Governor Usman Ododo of Kogi State received the official licence for the Ajaokuta Economic City Free Trade Zone from NEPZA’s MD, Dr Olufemi Ogunyemi. This follows President Tinubu’s November 2025 approval to establish a 4,000-hectare industrial city in Ajaokuta.
Governor Ododo couldn’t hide his excitement: “Before I respond, I want to see that product I am speaking about. Give me my certificate because it is a special product. Today is historic for our people”. WHY KOGI? God’s Special Geography! As our people say, “When God wants to bless a child, He places him at the centre of the market!” Governor Ododo put it beautifully: “If you look at Kogi State, it is specially created by God. It is the only state in Nigeria that borders about 10 commercial centres, including the Federal Capital Territory”. But that’s not all! Kogi sits on a goldmine, literally! The state is blessed with over 30 solid minerals in commercial quantities:
1). Coal (for energy).
2). Iron ore (the blood of steel).
3). Lithium (the new gold for batteries)
4). Gold and beryllium
Ododo lamented, “These have never worked for us”, until now! For the people of Kogi State, this means:
1. JOBS! JOBS!! JOBS!!!
Remember when Ajaokuta was once the largest employer in Nigeria, providing more than 10,000 direct jobs between 1982 and 2002? One former resident recalled when the company’s Thermal Power Plant generated power at full capacity, and the community experienced no outages between 1987 and 1989! Can you imagine? Kogi people were enjoying light while the rest of us were buying generators! The free trade zone promises to bring those glorious days back, and even better!
2. BUSINESS OPPORTUNITIES!
With the zone expected to begin operations in 2026 and groundbreaking in the second quarter, local businesses will feed the industrial machine. From food vendors to transport services, from accommodation providers to raw material suppliers, the economic ripple effect will touch every corner of Kogi!
3. INFRASTRUCTURE DEVELOPMENT!
Governor Ododo dropped another bombshell: plans for an international airport! “This airport will not be just for local operations. It will be international. We want to take advantage of our closeness to Abuja so that the overflow will be accommodated in Kogi State”.
The North Central Development Commission has also pledged to pursue the dredging of Rivers Niger and Benue and facilitate railway connectivity across the region. Imagine: goods manufactured in Ajaokuta moving by rail and water to ports for export!
For all Nigerians, this means:
A. AJAOKUTA STEEL!
The Sleeping Giant Awakens! Governor Ododo assures us: “Before the end of this year, Ajaokuta will be up and running. With the coming of this free trade zone, the project will advertise itself and add to the economic sustainability of our nation”. The Federal Government has been working tirelessly behind the scenes. The Minister of Steel Development, Prince Shuaibu Audu, has led delegations to China, engaging with steel giants like Sino Steel (subsidiary of Baowu Group), Fangda Steel Group, and Jingye Steel Group.
Why does this matter? Ajaokuta has an installed capacity of 1.9 million tonnes, with the potential to scale up to 5 million tonnes annually. That means:
1. Less importation of steel (saving foreign exchange)
2. Cheaper building materials for construction.
3. Support for automotive and heavy machinery industries.
B. JOBS FOR NIGERIAN YOUTHS!
The Ministry of Steel Development has already employed over 200 steel-sector experts and trained more than 700 youths nationwide. With the free trade zone operational, thousands more will find employment, from steel fabrication to mining, manufacturing to logistics.
3. DIVERSIFICATION FROM OIL!
Nigeria has relied on oil as a baby relies on milk. But every child must grow up and eat solid food! The steel sector and free trade zones represent the solid food, sustainable, diversified economic growth that doesn’t crash when oil prices fall.
4. NIGERIA JOINS THE FREE TRADE ZONE MAP
With the addition of Ajaokuta Economic City, Nigeria now has about 46 Free Trade Zones licensed by NEPZA. We’re joining the League of Nations using special economic zones to attract investment, boost exports, and drive industrialisation. As Nairametrics notes, successful zones like Lekki, Onne, and Eko Atlantic City have demonstrated how strategic location, infrastructure, and investor-friendly policies can attract businesses, create jobs, and boost exports. Ajaokuta can replicate this success!
THE FINE PRINT!
Challenges Remain. Let’s not sugarcoat it, the road to hell is paved with good intentions. Ajaokuta has seen many promises fade like shadows at sunset.
i). Budget Concerns: The 2026 budget allocated N6.69 billion to Ajaokuta Steel Company, with N6.04 billion (90.4%) going to personnel costs and only N410.8 million for capital projects. Some stakeholders worry this is too little for meaningful revival.
ii). Scepticism Remains: Mr Philip Jakpor of Renevyln Development Initiative alleged that past administrations had repeatedly used Ajaokuta as “a cash cow for some individuals… They pump billions of Naira into its rehabilitation and yet the mill does not work a single day”.
Dr Emmanuel Shuiabu, a former ASCL resident, emphasised that beyond political will, Nigeria needs engagement with the original builders of the plant and involvement of professionals who have worked there.
THE WAY FORWARD!
Hope on the Horizon! The North Central Development Commission’s MD, Cyril Tsenyil, described the Ajaokuta Economic City as a “strategic initiative” that offers an opportunity to identify developmental gaps and contribute to prosperity. Alhaji Isyaku Rabiu, Chairman of BUA Group, has commended the project, pledging support. The Chinese consortium leader, Li Zhensheng, says the project will be funded in collaboration with global partners.
Finally, Governor Ododo threw a challenge to doubters: “I was not elected to join noisemakers on social media. I signed up to serve my people. If you want to know what we are doing, come to Kogi State. We will provide security and logistics for you to see things for yourselves”. He sees this certificate as a legacy. This certificate is an asset and part of my achievements in office. We are working hard to deliver on our campaign promises. By the time I leave office, this will be part of the legacy for future generations”. NEPZA’s MD, Dr Ogunyemi, reminds us: “The road does not end here. This is the beginning of a long journey. This is a multi-sectoral economic city that can become one of the most successful free trade zones in Nigeria”.
The Ajaokuta Free Trade Zone is more than just another government announcement. It represents a genuine chance to transform Nigeria’s industrial landscape, create jobs, and finally put our steel resources to work. Will it succeed? Only time will tell. But as our people say, “However long the night, dawn always breaks.” Let’s watch this space and hold our leaders accountable to deliver!
What are your thoughts on the Ajaokuta Free Trade Zone? Do you think this time will be different? Drop your comments below! Your favourite economic storyteller, signing out! ✌️
@NzeIkayMedia
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