Bilateral trade between Nigeria and Japan is gradually expanding in value, with total trade volume exceeding S$750 million in 2025. While Nigeria’s export is anchored overwhelmingly on crude oil and a small basket of raw and semi-processed products, JOSEPH ONYEKWERE, who just returned from Japan, reports that although Nigeria has a trade surplus in this relationship, there is a lot to learn from the North-East Asian country in terms of national value, education, Kaizen philosophy, science and technology, among others.

On Wednesday, August 21, 2025, the opening day of the three-day Tokyo International Conference on African Development (TICAD 9), Idris Bello, a co-founder of The Wennovation Hub and one of Africa’s leading angel investors and startup advisors, posted a story and photograph showing that the country’s booth was unmanned.

Part of the post, which went viral, read: “I hate to show negative things about Nigeria, but it is sad that Nigeria is the only unmanned booth at TICAD9 in Japan. Upon all the folks who probably got estacode for coming to Japan.

“Only God knows how many Japanese folks have asked me about the unmanned booth, seeing my dressing. So ashamed I have now designated myself as Honorary Consul and taken over the booth to engage visitors,” he wrote.

As the ripples and outrage generated by the tweet went viral, other participants at the conference showed up to volunteer, engage visitors and potential investors, and, in the process, provide insights into different sectors of the Nigerian economy.

Ola Brown, another participant, in a post on X wrote: “Had an interesting time manning the Nigeria booth today with Idris. Unfortunately, the booth was left unstaffed by the Nigerian public sector team, but we still had engaging conversations with academics, private business owners, and NGOs who asked great questions.”

“We are on the ground to support our dear country,” David Brown, another Nigerian professional at the summit, tweeted, adding: “But this is so disappointing, more so that the Japanese are so eager to do business with us, but we prioritise vibes!! Anyway, we are on the ground in Japan.”

Nigerian officials, however, rejected the allegation that the country abandoned its stand at the conference, claiming that the booth was to be officially inaugurated on Thursday, 21st August 2025 (24 hours after other countries had opened theirs) before it became fully operational.

President Bola Tinubu, who arrived in Japan two days before the start of the conference, while being received by Japan’s ambassador in charge of TICAD, Hideo Matsubara, said: “Nigeria is open for business and ready for partnership.” But the attitude of government officials assigned to perform specific tasks seemed to have countered his submission.

While the TICAD reflected past occurrences where Nigeria’s representation at foreign conferences and summits were marked by oddities and scandals, the scathing criticisms that erupted from the saga notwithstanding, another scandal blew out barely 72 hours after the Director of Information at the State House, Abiodun Oladunjoye, in a statement made on the sidelines of the conference claimed the creation of a special visa category for highly skilled, innovative, and talented young Nigerians seeking to relocate to Kisarazu, Japan

The Government of Japan, however, countered the claim, dismissing reports suggesting that Nigerians moving to Kisarazu city under its newly launched “JICA Africa Hometown” initiative would be granted special visas or immigration privileges.

In a statement issued on Monday, the Japanese Ministry of Foreign Affairs said such reports were “contrary to the facts,” stressing that the programme is aimed at cultural and developmental exchanges, not at facilitating immigration.

While both scenarios reflect the level of laxity and tardiness that hallmarks service provision and governance, Japan has continued to demonstrate how formidable and well-calibrated its governance and economic structures are, enabling it to seamlessly transition from a cost-cutting economy to a prosperous one driven by rising incomes and sustained demand.

Kaizen: Japanese culture of excellence
Kaizen, the Japanese term for “continuous improvement”, is more than a collection of tools. It represents a deep cultural transformation.

This culture is built on the belief that everyone, in every role, should contribute to improvement.

Seen as a management philosophy and know-how that drives continuous improvement in productivity and quality, it has also contributed to Japan’s development, especially in manufacturing, and has shaped its post-war economic development.

Furthermore, it is a human-centred approach that fosters teamwork, self-reliance, creativity, and ingenuity.

More recently, it has proved to be valid in other spheres of life and culture. Indeed, the challenges that developing countries like Nigeria are currently facing are similar to those Japan faced in the post-war period and can be addressed if the principles of Kaizen are adopted.

Sixty-five-year-old Nakazato Jumko, a tour guide and interpreter, embodies the Kaizen culture of timeliness.

“The time to set out for your daily schedule is 9.30 a.m., and you have to be at the hotel lobby five minutes before the time,” she informed The Guardian, emphasising the Japanese five-minute rule that forbids late coming to any appointment.

True to type, 15 minutes before the time, Mrs Jumko was already at the hotel lobby waiting patiently, even though she commutes from a different part of Tokyo. And this act, she practices religiously every day.

Her conduct demonstrated the unique Japanese culture of efficiency, timeliness, and productivity, which Nigerians could learn from.

Science and technology as engine of future growth
Japan’s commitment to science and technology is seen as the cornerstone of its long-term economic competitiveness. This outlines a national strategy that places innovation at the heart of social and economic development.

For a country with limited natural resources, Japanese policymakers believe that global leadership in Science and Technology (S&T) is essential to sustaining growth, productivity, and international relevance.

The government views innovation not only as a tool for economic expansion but also as a pathway to solving pressing social challenges such as climate change, energy security, and healthcare.

This vision was reinforced in Japan’s New Growth Strategy, approved by the Cabinet in December 2009, which identified science and technology as one of the key “platforms to support growth.” The strategy positioned Japan as a “science-and-technology-oriented nation,” driven by innovation and knowledge-based industries.

Two priority areas were highlighted as pillars of future development. The first is green innovation, aimed at transforming Japan into a global leader in environmental and energy technologies. This includes investments in renewable energy, energy efficiency, and low-carbon industrial systems.

The second pillar is life innovation, which focuses on strengthening Japan’s healthcare and biotechnology sectors. Through advanced medical research, pharmaceutical development, and digital health technologies, the government aims to improve the quality of life while building a globally competitive health industry.

At the centre of Japan’s science and technology governance is the Council for Science and Technology Policy (CSTP), chaired by the country’s prime minister. The council is responsible for setting national priorities and ensuring that research and innovation policies align with broader economic goals.

The Ministry of Education, Culture, Sports, Science and Technology (MEXT) plays a key coordinating role, formulating detailed policies for research and development, funding programmes, and working with other government agencies to implement innovation strategies.

Japan’s model demonstrates how strategic investment in science and technology can compensate for resource constraints and demographic challenges. By focusing on innovation, skills development, and research infrastructure, Japan continues to position itself as a global hub for advanced technology.

For countries like Nigeria seeking to diversify their economies and build knowledge-driven industries, Japan’s experience offers a clear lesson: sustained commitment to science, technology, and research is not optional but essential for long-term national competitiveness in an increasingly digital, innovation-led world.
Spearheading global education renaissance with structure, reform, and inclusion

The industrial giant’s education system, widely regarded as one of the most structured and effective in the world, has evolved over more than a century through a series of reforms aimed at ensuring equal access, quality learning, and national development.

The foundations of modern education in Japan were laid in 1872 with the promulgation of the first national school system. However, the most significant transformation came after the Second World War, when the Fundamental Law of Education and the School Education Law were enacted in 1947. These reforms introduced the now-familiar 6-3-3-4 structure, built on the principle of equal educational opportunity for all citizens.

Education in Japan is compulsory for nine years, covering elementary and lower secondary school. From the age of six, every child is required to attend elementary school for six years, where the focus is on basic literacy, numeracy, and social development. This is followed by three years of lower secondary education, which deepens academic learning and prepares students for either higher education or vocational paths.

While upper secondary education is not compulsory, the majority of Japanese students proceed to this level.

Entry is usually through competitive examinations, reflecting Japan’s merit-based academic culture. Upper secondary schools offer three main types of programmes: general courses, specialised vocational courses, and integrated courses that combine both. Students can also choose between full-time, part-time, and correspondence learning, allowing flexibility for young workers and non-traditional learners.

In 1999, Japan introduced a six-year secondary education school that merges lower and upper secondary education into a single continuous system, designed to reduce academic pressure and provide more consistent learning.

In response to labour market demands, Japan has also expanded vocational and professional education.

Professional graduate schools were introduced in 2003 to train highly specialised professionals, while professional and vocational universities and junior colleges were established in 2019 to provide practical, industry-focused education.

Japan’s success lies in its long-term planning, consistent policy reforms, and strong alignment between education and national development goals. For Nigeria and other African countries grappling with challenges in education quality and access, Japan’s model offers key lessons: investment in teacher training, strong vocational pathways, inclusive education for learners with disabilities, and early childhood support systems.

As Nigeria seeks to build a knowledge-based economy, Japan’s experience demonstrates how a well-structured education system can serve as the backbone of industrial growth, social stability, and global competitiveness.

Targeting steady growth as government projects strong, sustainable economy
Japan’s government has projected steady economic growth in the 2026 fiscal year, signalling a gradual shift from decades of deflation to a more resilient, wage-driven growth model.

In its Fiscal Year 2026 Economic Outlook and Basic Stance on Economic and Fiscal Management, approved by the Japanese Cabinet, which is aimed at moving the country from a cost-cutting economy to one with rising incomes and sustained demand, a wage increase of over five per cent for two consecutive years marks a turning point for its economy.

However, challenges remain, including sluggish productivity growth, the impact of American trade policies, particularly on the automotive sector, and rising living costs, especially food prices, which have weakened household consumption.

To address these pressures, the government introduced the Comprehensive Economic Measures to Build a Strong Japanese Economy in November 2025. The package focuses on three major pillars: protecting livelihoods against inflation, promoting strategic and growth-oriented investments, and strengthening Japan’s defence and diplomatic capacity.

These measures are being supported by the FY2025 supplementary budget, which the government said will be implemented swiftly to stimulate domestic demand and improve economic resilience.

For the 2026 fiscal year, Japan expects real Gross Domestic Product (GDP) to grow by about 1.3 per cent, while nominal GDP is expected to rise by 3.4 per cent. Inflation, measured by the Consumer Price Index (CPI), is projected at 1.9 per cent – close to the Bank of Japan’s two per cent target.

Economic analysts believe Japan’s policy direction offers important lessons for countries like Nigeria, which are seeking to balance growth with inflation control and fiscal sustainability.

The country’s emphasis on wage growth, domestic consumption, and strategic investment reflects a shift from export-heavy growth to a more inclusive economic model – one that prioritises household welfare and long-term productivity.

As global economic uncertainty persists, Japan’s cautious but optimistic outlook highlights how policy coordination, structural reforms, and human capital investment can help economies navigate inflation, demographic pressures, and shifting global trade dynamics.

The Director, Africa Office, Trade Policy Bureau of the Japanese Ministry of Economy, Trade and Industry (METI), Kato Kenji, who explained the country’s trade and investment policy, said there is a focus on African development. This, he said, is the reason the International Conference on African Development (TICAD) and Japan International Cooperation Agency (JICA) were created.

Addressing imbalance as Nigeria–Japan trade volume hits over $750m
Mineral fuels and oils remain Nigeria’s single largest export to Japan, valued at about US$225 million, making energy the backbone of the bilateral trade relationship. Yet, growth in this category has been relatively modest over the 2020–2024 period, suggesting that while oil anchors the trade, it is no longer the most dynamic segment.

More telling are the rapid gains in non-oil commodities, particularly aluminium and aluminium products, which rose to nearly US$198 million, posting a yearly growth rate of almost 70 per cent. Aluminium alone accounts for more than half of Nigeria’s exports to Japan, highlighting a rare instance of Nigeria integrating into Japan’s industrial supply chain beyond crude oil.

Copper exports also expanded sharply, albeit from a smaller base, while oil seeds and oleaginous fruits recorded steady growth, pointing to emerging opportunities in agro-industrial trade.

Among agricultural products, cocoa and cocoa preparations stood out for their exceptional growth rate – over 150 per cent yearly, despite total export values remaining low at around US$1.5 million. This reflects strong latent demand in Japan for speciality and traceable agricultural inputs, constrained mainly by Nigeria’s limited processing capacity and compliance with quality standards.

Despite these apparent gains, Nigeria’s overall presence in Japan’s import market remains marginal. Japan imported over US$168 billion in mineral fuels globally in 2024, yet Nigeria supplied only a fraction of that demand. The same pattern is visible across metals, machinery, plastics, and agricultural goods, where Japan’s import volumes dwarf Nigeria’s export penetration.

In contrast, Nigeria exported over US$47 billion worth of mineral fuels globally, indicating that Japan remains an under-tapped destination rather than a capacity constraint.

The combined data paints a paradoxical picture: Nigeria enjoys a large trade surplus with Japan, yet remains a minor supplier in one of the world’s largest and most stable import markets. Without deliberate policies to promote value addition, industrial clustering, and export readiness, particularly in metals and agro-processing, Nigeria risks remaining locked in a role as a resource supplier, even as demand from Japan continues to grow.

As Japan seeks secure and diversified supply chains under its Africa engagement frameworks, analysts argue that Nigeria is well-positioned to move beyond crude oil, if it can align production, standards, and trade promotion with Japanese demand.

Building Nigeria’s startup future through Japan–Africa collaboration
The North-East Asian country’s Africa engagement is supported by key public-private platforms that coordinate government policy with private-sector participation, central among them being TICAD, Japan’s flagship International Conference on African Development, co-organised with the United Nations, UNDP, the African Union Commission, and the World Bank.
  
Another major platform is the Japan Business Council for Africa (JBCA), established in 2019 to facilitate public-private dialogue on African business. JBCA is co-chaired by the ministers of METI and Foreign Affairs alongside leaders of Japan’s major business associations, including Nippon Keidanren and Keizai Doyukai, with the Chairman of JETRO joining as co-chair in 2022. As of June 2025, about 520 companies and 840 individuals participate in the council.
  
Complementing these efforts is the Japan-Africa Public-Private Economic Forum, a ministerial-level platform led by METI and JETRO and held every three years in Africa.

Nigeria stands at a defining moment in its economic journey. As global economic uncertainty deepens and local challenges continue to test resilience, entrepreneurs and startups across the country are emerging as powerful engines of innovation, job creation, and social transformation.

Yet these young businesses face persistent barriers – limited access to finance, weak ecosystems, skills gaps, and insufficient technical support that threaten their ability to scale and survive.
  
Against this backdrop, a shared vision is taking shape: a co-creation for the Common Agenda Initiative that brings together Japanese expertise and Nigerian innovation to strengthen the startup ecosystem, address social challenges, and build long-term economic resilience.
  
At the heart of this cooperation is a belief that sustainable development is best achieved not through one-way assistance, but through partnership-where capabilities are combined, knowledge is exchanged, and solutions are co-designed.
  
One pillar of this effort is technical cooperation. Since 2021, Japan International Cooperation Agency (JICA) has deployed an Entrepreneur Support and Innovation Promotion Advisor to work closely with Nigerian stakeholders. Through hands-on guidance, policy advice, and ecosystem coordination, this initiative supports entrepreneurs while aligning public and private actors around a shared innovation agenda.
 
Complementing this is a strategic aid grant, most notably the planned development of a Startup Hub in Abuja, backed by significant Japanese funding. This hub is envisioned as more than a physical space; it will be a national anchor for innovation, providing infrastructure, mentorship, networking, and access to opportunities for startups across sectors. By creating an enabling environment, the hub aims to nurture ideas from conception to commercialisation.
  
To ensure that interventions are grounded in real needs, basic surveys and preparatory studies are being conducted across Africa, including Nigeria.
  
A key innovation within this cooperation framework is the Social Innovator Hub (SIH) pilot initiative. Designed to connect entrepreneurs from developing countries with Japanese laboratories, companies, and technical institutions, the hub enables startups to address local social challenges using Japanese technology and expertise. This model transforms innovation into a two-way street, where Nigerian challenges inspire global solutions, and Japanese know-how finds new relevance in emerging markets.
  
Financial sustainability is another cornerstone. Through grant mechanisms and mobilisation-type funding, support is provided to government-backed startup funds, ensuring that early-stage enterprises have access not only to capital but also to the technical assistance required to grow sustainably. These measures aim to lay the foundation for a self-reinforcing ecosystem that continues to thrive beyond donor support.
  
Private sector engagement further strengthens the initiative. Under the Project for Innovation by Startups in Africa, investment funds managed through joint ventures provide risk capital to promising African startups. This bridges the gap between innovation and market expansion, allowing high-potential ventures to scale.
  
In parallel, platforms such as Japan External Trade Organisation (JETRO) and the Japan-Africa Co-Creation for Industry Initiative (JACCI) promote direct collaboration between Japanese companies and African startups. These partnerships unlock new business opportunities, encourage technology transfer, and integrate Nigerian startups into global value chains.
  
Together, these efforts form a coherent cooperation menu spanning surveys, technical assistance, grant aid, training, and investment rolled out progressively from 2023 and beyond. The ultimate goal is clear: to support Nigerian startups as drivers of social solutions, economic resilience, and inclusive growth, while deepening Japan–Africa collaboration through genuine co-creation.
  
This is not just a development programme. It is a shared story of innovation, partnership, and the belief that when ecosystems are nurtured, entrepreneurs can transform challenges into opportunities for Nigeria, for Africa, and for the global economy.
  
The Director, National Graduate Institute for Policy Studies (GRIPS), Japan, Prof Ohno Izumi, described their experience in this manner. “We used to be latecomers in development cooperation in the early 19th century, but had to catch up with Western technology. And then we did everything by ourselves, either by paying for experts to come to Japan or by sending young Japanese overseas with our own resources. So, this is how we started to open up and learn technology. 
  
“After World War 11, our economy was devastated. We had to rebuild our economy. And we were under occupation by America for a certain period, although they supported us a lot in humanitarian efforts and reconstruction. Then the World Bank also provided us with financial support. At the same time, we started to give support to Asian countries as compensation for the things we did during the war.   
  
“So, we started to join international organisations. That’s how we moved from being aid recipients to becoming donors. That perspective helped to shape how Japan sees development. So, we think aid is not just charity, but a way to show who you are. Then, it has to graduate to a point where the recipient becomes an equal partner in trade and investment.”
  
Prof. Izumi explained that, having successfully aided Asian countries, Japan began to extend its support to Africa. “I think Africa has to take ownership because every country is unique in its own needs – local adaptation,” she said, emphasising the importance of state cooperation in developmental efforts.  

Japanese company’s footprint in Nigeria
The number of Japanese companies operating in Nigeria from various sectors is 52, and the largest in the West African region. The companies include Honda, Yamaha Motor, Daikin Industries, Ajinomoto, Sanyo Foods, Kaneka, Ohara Pharmaceutical, Yokogawa Electric, and Toppan Holdings, one of the world’s largest printing and publishing firms.
  
At Toppan’s headquarters in Tokyo, Richard Broadhead of the Global Business Division, who took The Guardian round the facility and products, explained that the company injected N1.6 billion in February 2024 to kick-start Toppan Africa Limited in Lagos. 
  
According to him, their business activities include offering a healthcare dashboard for pharmaceutical companies, providing electric devices to improve supply chain efficiency, an identity card authentication platform for Fast-Moving Consumer Goods (FMCG), and providing high-barrier films and packages for FMCGs.
  
He stated that the company had accumulated specialist knowledge and expertise in printing technologies for more than a century since its inception and had gradually evolved over time into information and communication, electronics, as well as living and industrial sectors.
  
Besides these companies, others are already focused on investing in Nigeria. For instance, Mitsui Chemicals Inc. said its desire to invest in Nigeria fueled the signing of a strategic Memorandum of Understanding with Dangote Group last year.

A member of the Board and the Senior Manager/Executive Officer, Ando Yoshinori, who conducted The Guardian round their high-quality product samples, said Nigeria has emerged as a major focal point of the Japan-Africa economic engagement.   
  
He stated that during the 9th Tokyo International Conference on African Development (TICAD9), Dangote Group signed the MoU with Mitsui Chemicals and a Japanese venture capital firm, AAIC, to explore petrochemical manufacturing opportunities in Nigeria.
  
According to Yoshinori, Dangote Group ticked all the boxes, as it operates across energy, manufacturing, logistics, agriculture and automotive sectors, and recently commissioned its massive refinery project in May 2024.
  
Another company with substantial interest in Nigeria is Tromso Co. Ltd. The company, headquartered in Innoshima, Hiroshima, manufactures and sells the “Grind Mill,” which produces solid fuel from rice husks. It is a machine that effectively utilises discarded husks.