Nigeria To Appeal €23.52M Judgment In Favour Of Chinese Firm
The Federal Government has announced its intention to appeal a ruling by the British Virgin Islands High Court that allows Zhongshan Fucheng Industrial Investment Company Limited, a Chinese firm, to seize million from Nigeria’s foreign assets.
The judgment stems from a dispute over a terminated trade zone agreement signed in 2010 between Zhongshan and Ogun State during former Governor Ibikunle Amosun’s administration. The project was canceled by the state government in 2016, prompting Zhongshan to seek arbitration under the bilateral investment treaty between China and Nigeria.
The arbitration tribunal ruled in Zhongshan’s favour, awarding the company approximately million in compensation. Despite Nigeria’s argument for state immunity, its defence was rejected by the UK courts.
Reacting to the ruling, the Special Adviser to the President on Policy Communications, Daniel Bwala, assured Nigerians that the judgment would not be enforced immediately.
“This ruling serves as a warning. Until Nigeria has the opportunity to present its defence, the judgment cannot be enforced. We have the chance to appeal and vacate this ruling,” Bwala said in a statement issued in Abuja on Thursday.
Bwala reaffirmed the federal government’s commitment to defending Nigeria’s interests, stating:
“The Presidency remains steadfast in safeguarding the country’s rights and assets. We will explore all legal options and take the necessary steps to address these challenges.”
The case highlights ongoing tensions between Nigeria and foreign investors over terminated agreements, with potential implications for international trade and investment relations.
