Experts have urged a balanced regulatory framework for Nigeria’s rapidly growing online trading sector, noting its transformative impact on commerce, consumer behavior, and the economy.
The call comes amid Nigeria’s expanding digital marketplace, fueled by rising smartphone use and social media activity. The digital economy now contributes over 19 per cent to the national GDP, driven largely by pandemic-era shifts in consumer behavior toward faster, more convenient online transactions.
Chris Oputa, Director-General of the Nigerian Association of Small Scale Industrialists (NASSI), said the rise of online commerce stems from widespread mobile and social media use and evolving global trends. He highlighted cost savings for Micro, Small, and Medium Enterprises (MSMEs) and lower barriers to entry for entrepreneurs.
However, Oputa warned that rapid growth exposes gaps in regulation, data tracking, consumer protection, and fraud prevention. He proposed a national verification system for traders and an insurance-backed mechanism to compensate fraud victims.
Dr. Nathaniel Oladunjoye, Senior Lecturer at Obafemi Awolowo University, emphasized online trading’s benefits for Nigeria’s youth, noting efficiency, convenience, and accessibility. He called for government oversight and expanded internet infrastructure in rural areas to ensure inclusive participation.
Traders and shoppers highlighted cost savings, wider reach, and convenience, but also raised concerns over fraud, fake payments, and product quality. Stakeholders agreed that regulation should balance innovation with consumer protection and economic safeguards.
