Tinubu Approves Targeted Incentives To Unlock Jobs

Tinubu Approves Targeted Incentives to Unlock Jobs, FX Inflows from Shell’s Bonga South-West Project and Other Deep-Offshore Developments Abuja, Nigeria President Bola Ahmed Tinubu has approved the gazetting of disciplined, targeted, investment-linked incentives aimed at accelerating Shell’s long-delayed Bonga South-West deep-offshore oil project and similar offshore developments, signalling a major push to boost jobs, foreign-exchange (FX) inflows and capital investment under The approval was announced in a statement from the State House, Abuja, and reflects ongoing efforts to attract new investment into Nigeria’s energy sector a key pillar of economic growth and diversification.
President Tinubu directed his Special Adviser on Energy, Mrs. Olu Verheijen, to facilitate the formal gazette of the incentives within Nigeria’s existing legal and fiscal frameworks, emphasising that the measures are not blanket concessions but ring-fenced and investment-linked. In his address while receiving a Shell delegation led by Global CEO Wael Sawan, Tinubu said the incentives will:
Attract new capital investment without undermining government revenues. Focus on incremental production and strong local content delivery. Support in-country value addition and deepen Nigerian participation in offshore energy services.
Encourage Final Investment Decisions (FID) within the administration’s first term.
My expectation is clear: Bonga South-West must reach a Final Investment Decision within the first term of this administration,” the President said, underscoring government urgency to convert policy into tangible projects. Tinubu described the Bonga South-West project estimated to cost over $5 billion and capable of producing substantial oil output as strategic to Nigeria’s economy, with the potential to: Create thousands of direct and indirect jobs.
Generate significant foreign exchange earnings.
Produce sustained government revenues over the project’s lifespan.
Deepen Nigerian capability in offshore engineering, fabrication, logistics and energy services. The incentives are expected to help unlock vast capital inflows for other deep-offshore projects, a segment that has historically been constrained by high upfront costs and fiscal uncertainties. President Tinubu reiterated his commitment to policy stability, regulatory certainty and faster approvals factors he said are critical to restoring investor confidence and positioning Nigeria as a preferred destination for large-scale energy investments. Highlighting recent sector gains, Tinubu noted that Shell and its partners have invested nearly $7 billion in Nigeria over the past 13 months, a reflection of improving confidence under his economic reforms. Shell executives welcomed the incentive approval as a sign of strengthened investment climate and long-term commitment to Nigeria. They reiterated confidence in the country as a destination for deep offshore and integrated energy projects that align corporate strategy with host-country development goals.
Officials from the Nigerian National Petroleum Company Limited (NNPC Ltd.) underscored that the incentives will catalyse large projects, including future investments that could exceed $20 billion across the oil and gas value chain multiplying opportunities for jobs and infrastructure participation. Economic Growth: The incentives directly support Nigeria’s drive to grow jobs, exports and revenue core objectives of the Renewed Hope Agenda.
Energy Sector Reform: By targeting deep offshore projects with focused incentives, the government aims to unlock stranded investments and compete globally for capital.
Investor Confidence: The move reflects continuity in economic policy and regulatory clarity, enhancing Nigeria’s international investment profile. the emphasis on local content and in-country value addition aligns with broader goals of inclusive industry growth and skills development. The Special Adviser on Energy will proceed with gazetting the incentives, after which project partners are expected to move swiftly toward Final Investment Decisions. Government officials will continue to monitor the implementation of incentives to ensure measurable outcomes in jobs, revenue and FX inflows.