In a bid to streamline economic activities, enhance security, and foster inclusive governance, the Anambra State Government has embarked on an ambitious initiative to profile traders across major markets in the state. This move, announced by the state’s Commissioner for Commerce and Industry, Dr. Obinna Ngonadi, is part of a broader strategy to create a robust database of traders, promote accountability, and facilitate targeted interventions to boost the state’s commercial ecosystem. The profiling exercise, which began recently, is being conducted in collaboration with the leadership of various markets and has been met with a mix of optimism and cautious curiosity from traders.
Background and Rationale for the Profiling Exercise
Anambra State, often referred to as the commercial hub of Nigeria’s South-East region, is home to some of the largest and most vibrant markets in the country, including the Onitsha Main Market, Nkpor New Auto Spare Parts Market, and the Ogbo-Ogwu Market in Onitsha, among others. These markets serve as critical economic arteries, not only for the state but also for the broader West African sub-region, attracting traders from neighboring states and countries. The economic significance of these markets cannot be overstated, as they contribute significantly to the state’s internally generated revenue (IGR) and provide livelihoods for millions of residents.
However, the state government has long faced challenges in effectively managing these markets due to the absence of a comprehensive database of traders. Issues such as unregulated trading activities, tax evasion, security concerns, and difficulties in implementing development projects have been persistent. The lack of accurate data has also hindered the government’s ability to provide targeted support to traders, particularly in the wake of economic disruptions caused by events such as the COVID-19 pandemic, rising inflation, and currency fluctuations.
To address these challenges, the Anambra State Government, under the leadership of Governor Charles Chukwuma Soludo, has prioritized data-driven governance as a cornerstone of its development agenda. The trader profiling initiative is a key component of this vision, aimed at creating a structured and transparent system for managing commercial activities in the state. According to Dr. Ngonadi, the profiling exercise will enable the government to “know who is trading in our markets, what they are trading, and how we can better support them to thrive.”
Objectives of the Profiling Initiative
The profiling exercise has multiple objectives, each designed to address specific challenges and unlock opportunities for both traders and the government. These objectives include:
Economic Planning and Revenue Generation: By collecting detailed information about traders, their businesses, and their operations, the government aims to create a reliable database that will inform economic planning and policy formulation. This data will also help streamline tax collection processes, ensuring that traders contribute their fair share to the state’s revenue while avoiding exploitation through multiple taxation.
Security Enhancement: Markets in Anambra, particularly the Onitsha Main Market, have occasionally been plagued by security challenges, including petty crimes, disputes, and, in some cases, more serious incidents. Profiling traders will enable the government to identify legitimate business operators, reducing the risk of criminal elements operating under the guise of trading. The initiative also includes plans to issue identification cards to verified traders, which will enhance security measures within market premises.
Targeted Support for Traders: The profiling exercise will provide the government with insights into the specific needs of traders, such as access to credit, infrastructure improvements, or training programs. This will enable the state to design targeted interventions, such as microfinance schemes or capacity-building workshops, to empower traders and boost their productivity.
Market Infrastructure Development: Accurate data on the number and types of traders in each market will guide the government in planning infrastructure upgrades, such as modern market stalls, improved sanitation facilities, and better road networks. This is particularly critical in markets like Onitsha Main Market, where overcrowding and poor infrastructure have been longstanding issues.
Formalization of the Informal Sector: A significant portion of traders in Anambra’s markets operate in the informal economy, which makes it difficult for them to access formal financial services or government support. The profiling exercise aims to bring these traders into the formal economy, enabling them to benefit from government programs and financial inclusion initiatives.
Implementation Process
The profiling exercise is being rolled out in phases, starting with the major markets in the state before expanding to smaller markets. The process involves collaboration between the Anambra State Ministry of Commerce and Industry, market leadership, and other relevant stakeholders, including local government authorities and security agencies. Traders are required to provide basic information such as their names, contact details, type of business, and location within the market. In some cases, additional details such as tax identification numbers, business registration status, and proof of ownership or tenancy of market stalls may be requested.
To ensure transparency and efficiency, the government has deployed enumerators to markets to collect data directly from traders. These enumerators are trained to handle sensitive information with confidentiality and to address any concerns traders may have about the process. The state has also set up verification teams to cross-check the data provided by traders, ensuring accuracy and preventing fraudulent entries.
In addition to physical data collection, the government is exploring the use of digital tools to streamline the process. A dedicated online portal is reportedly in development, where traders can voluntarily submit their information. This digital approach is expected to reduce errors, improve accessibility, and make it easier for traders in remote or less accessible markets to participate in the exercise.
Reactions from Traders and Market Leaders
The profiling initiative has elicited a range of reactions from traders and market leaders. Many traders have welcomed the move, seeing it as an opportunity to gain recognition and access government support. Mr. Chukwudi Okeke, a textile trader at Onitsha Main Market, expressed optimism about the initiative, stating, “If this profiling will help us get loans or better facilities in the market, then it’s a good thing. We’ve been struggling with high costs and no support for too long.”
Market leaders, who play a crucial role in mobilizing traders and ensuring compliance, have also voiced their support. Chief Ignatius Okoye, Chairman of the Onitsha Main Market Traders Association, described the profiling as “long overdue” and pledged the association’s cooperation. “We want a market where everyone is known, and we can work together to address issues like insecurity and poor infrastructure,” he said.
However, some traders have expressed concerns about the potential misuse of their data or the imposition of additional taxes. Mrs. Ngozi Eze, a foodstuff trader at Nkpor Market, voiced her apprehension: “We don’t mind giving our information, but the government must assure us that this won’t lead to more levies or harassment by tax collectors.” In response, Dr. Ngonadi has emphasized that the profiling exercise is not intended to burden traders but to create a mutually beneficial system that supports both the government and the trading community.
Challenges and Mitigation Strategies
While the profiling initiative holds significant promise, it is not without challenges. One major hurdle is the sheer scale of the exercise, given the large number of traders operating in Anambra’s markets. For instance, Onitsha Main Market alone is estimated to house over 50,000 traders, each with unique business operations and needs. Collecting and verifying data for such a large population requires significant resources, including manpower, technology, and funding.
Another challenge is the potential resistance from traders who may be skeptical about the government’s intentions. Past experiences with tax enforcement and market regulations have left some traders wary of government initiatives, fearing they could lead to increased financial burdens or bureaucratic hurdles. To address this, the state government has launched an awareness campaign to educate traders about the benefits of the profiling exercise. Radio jingles, town hall meetings, and engagements with market associations are being used to dispel misconceptions and build trust.
The issue of data security is also a concern, as traders are required to provide personal and business information. To mitigate this, the government has assured traders that their data will be handled with utmost confidentiality and stored in secure systems. The Ministry of Commerce and Industry has also promised to comply with data protection regulations to safeguard traders’ privacy.
Broader Implications for Anambra’s Economy
The trader profiling initiative is part of a broader economic transformation agenda championed by Governor Soludo, who has made it clear that his administration is committed to positioning Anambra as a leading economic powerhouse in Nigeria. By creating a comprehensive database of traders, the state hopes to unlock new opportunities for economic growth, attract investment, and enhance its reputation as a business-friendly destination.
One significant implication of the profiling exercise is its potential to boost financial inclusion. Many traders in Anambra’s markets lack access to formal banking services, relying instead on informal savings groups or cash-based transactions. By formalizing their businesses through profiling, traders can gain access to loans, grants, and other financial products tailored to their needs. This, in turn, could stimulate entrepreneurship, create jobs, and drive economic growth.
The initiative also aligns with national and regional efforts to formalize the informal economy. The Federal Government of Nigeria, through agencies like the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN), has been advocating for the formalization of small businesses to enhance economic planning and revenue generation. Anambra’s trader profiling exercise could serve as a model for other states looking to implement similar initiatives.
Future Prospects and Expansion Plans
As the profiling exercise progresses, the Anambra State Government has outlined plans to expand its scope beyond major markets. Smaller markets in rural areas, as well as street vendors and itinerant traders, are expected to be included in subsequent phases. This inclusive approach underscores the government’s commitment to capturing the full spectrum of commercial activities in the state.
The government is also exploring partnerships with private sector organizations, including fintech companies and development agencies, to enhance the profiling process. For instance, collaborations with banks could facilitate the issuance of trader identification cards linked to financial accounts, further promoting financial inclusion. Similarly, partnerships with technology firms could accelerate the development of the online portal and ensure its scalability.
Looking ahead, the data collected through the profiling exercise will serve as a foundation for long-term economic planning. The government plans to use the data to conduct regular market surveys, monitor economic trends, and evaluate the impact of its policies on traders. This data-driven approach is expected to enhance the state’s ability to respond to economic challenges and capitalize on emerging opportunities.
Conclusion
The Anambra State Government’s trader profiling initiative represents a bold step toward modernizing the state’s commercial landscape. By creating a comprehensive database of traders, the government aims to address longstanding challenges such as tax evasion, insecurity, and inadequate infrastructure while unlocking new opportunities for economic growth and development. While the initiative is not without its challenges, the state’s proactive approach to stakeholder engagement and transparency bodes well for its success.
As the profiling exercise gains momentum, it has the potential to transform Anambra’s markets into more organized, secure, and prosperous hubs of economic activity. For traders, the initiative offers the promise of greater recognition, access to support, and a stronger voice in shaping the state’s economic policies. For the government, it provides a valuable tool for planning, revenue generation, and governance. Ultimately, the success of this initiative will depend on the government’s ability to maintain trust, ensure transparency, and deliver tangible benefits to traders and the broader Anambra community.
