Amanze Chinonye
Nigeria and the Hong Kong Special Administrative Region (HKSAR) have signed an agreement to eliminate double taxation on income, a move expected to strengthen bilateral trade, attract investment and deepen economic cooperation between both jurisdictions, Prime Business Africa reports.
The agreement was signed virtually on Monday by Nigeria’s Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, and Hong Kong’s Secretary for Financial Services and the Treasury, Christopher Hui.
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According to a statement issued by Nigeria’s Federal Ministry of Finance on Monday, the treaty is designed to eliminate double taxation on income earned in both jurisdictions while strengthening measures to prevent tax evasion and tax avoidance. It is also expected to provide greater certainty for businesses and investors operating between Nigeria and Hong Kong.
Speaking at the virtual signing ceremony, Oyedele described the agreement as a significant milestone in the growing economic and commercial relationship between Nigeria and Hong Kong. He said it underscores Nigeria’s commitment to building a transparent, predictable and investor-friendly tax environment that supports trade, investment and sustainable economic growth.
The minister noted that, despite the ceremony being held virtually, it reflected the shared commitment of both governments to strengthening economic cooperation and creating a more conducive environment for cross-border trade and investment.
He added that the agreement comes at a time when Nigeria is deepening its integration into global value chains and expanding its economic partnerships across Asia.
Describing Hong Kong as a leading international financial and commercial hub, Oyedele said the treaty would facilitate stronger private-sector engagement and create new opportunities for mutually beneficial investment and trade.
He also commended the negotiating teams from both sides for their professionalism and constructive engagement, noting that their efforts resulted in a balanced, forward-looking agreement that aligns with international best practices while safeguarding the legitimate interests of both jurisdictions.
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The agreement forms part of Nigeria’s broader strategy to expand its network of Double Taxation Agreements (DTAs) to promote trade, attract foreign investment and strengthen international tax cooperation.
Subject to the completion of the necessary domestic ratification processes in both jurisdictions, the treaty is expected to provide a clearer and more predictable tax framework for individuals and businesses operating in Nigeria and Hong Kong.
By reducing the risk of the same income being taxed twice, the agreement is expected to lower the cost of cross-border business, encourage investment and further strengthen economic ties between the two economies.
Amanze Chinonye is a Staff Correspondent at Prime Business Africa, a rising star in the literary world, weaving captivating stories that transport readers to the vibrant landscapes of Nigeria and the rest of Africa. With a unique voice that blends with the newspaper's tradition and style, Chinonye's writing is a masterful exploration of the human condition, delving into themes of identity, culture, and social justice. Through her words, Chinonye paints vivid portraits of everyday African life, from the bustling markets of Nigeria's Lagos to the quiet villages of South Africa's countryside . With a keen eye for detail and a deep understanding of the complexities of Nigerian society, Chinonye's writing is both a testament to the country's rich cultural heritage and a powerful call to action for a brighter future. As a writer, Chinonye is a true storyteller, using her dexterity to educate, inspire, and uplift readers around the world.
