Travel & Tourism

September 5, 2025

Tourism Acts under review: Musawa, stakeholders seek balance between regulation, growth

Tourism Acts under review: Musawa, stakeholders seek balance between regulation, growth

Minister of Arts, Culture, Tourism and Creative Economy, Hannatu Musa Musawa.

By Jimoh Babatunde

Nigeria’s tourism industry is once again at a crossroads as questions surrounding the Nigerian Tourism Development Authority (NTDA) Act 2022 and the National Institute for Hospitality and Tourism (NIHOTOUR) Act 2022 dominate conversations among stakeholders.

At a recent stakeholders’ meeting in Abuja, Minister of Arts, Culture, Tourism and Creative Economy, Hannatu Musa Musawa, pledged that her ministry would take a hard look at the controversial provisions of the laws and, if necessary, return them to the National Assembly for further review.

The assurance comes after the Federation of Tourism Associations of Nigeria (FTAN), the umbrella body of 23 private sector associations in the industry, called for a comprehensive realignment of the Acts to empower rather than stifle operators.

“We will critically examine the NTDA and NIHOTOUR Acts alongside the position papers presented here, and if it becomes necessary, we won’t hesitate to take them back to the National Assembly,” Musawa told participants.

She added that a broader stakeholder forum will be convened to present a final position.

FTAN Raises Red Flags

For FTAN President, Dr. Aliyu Badaki, the issue goes beyond technicalities. According to him, the Acts, while well-intentioned, contain duplications, ambiguities, and conflicts that threaten the sustainable growth of tourism in Nigeria.

On the NTDA Act 2022, Badaki pointed out contradictions: the Authority is empowered both to regulate the sector and to engage in commercial activities such as tour operations and consultancy.

“This puts NTDA in direct competition with the private sector it is supposed to regulate,” he argued.

Other contentious provisions include new levies such as a one percent hotel room tax—seen as multiple taxation—and sections that overlap with the Federal Competition and Consumer Protection Commission (FCCPC). FTAN also noted that some provisions contradict the Supreme Court’s 2013 judgment on the division of powers between federal and state governments in tourism regulation.

Badaki recommended that NTDA should focus on policy formulation, destination marketing, product development, and investment facilitation rather than commercial activities, while the Tourism Development Fund should be clearly defined in terms of funding and benefits.

On NIHOTOUR, FTAN expressed strong reservations about the institution’s dual role as a training provider and regulator, which it described as “an aberration.”

“No academic institution anywhere in the world registers and re-certifies professionals who have already gone through accredited universities or polytechnics,” Badaki said, warning that such provisions could undermine higher education and professional bodies.

He added that the Act’s punitive measures—including the establishment of a tribunal to sanction practitioners—were excessive and unconstitutional.

Instead, NIHOTOUR should focus strictly on vocational training and manpower development for the hospitality sector.

Government Officials React

In response, Mr. Ovie Richard Esewhaye, Director overseeing the Office of the Director-General of NTDA, echoed the concerns about duplication.

He stressed that NIHOTOUR’s mandate should be limited to human capital development without usurping regulatory roles.

He proposed a Memorandum of Understanding (MoU) between NTDA and NIHOTOUR to clearly define roles, and the creation of a technical committee to resolve overlaps.

He also recommended a downward review of NIHOTOUR’s fees and charges, which practitioners say are burdensome.

A Sector in Search of Clarity

The debates reflect broader frustrations in Nigeria’s tourism sector. Operators complain of being overregulated yet under-supported, burdened with multiple taxes, and hemmed in by conflicting laws.

Many believe that without a clear institutional framework, the industry cannot realize its potential to drive jobs, GDP growth, and national branding.

Minister Musawa, in acknowledging these concerns, struck a conciliatory note: “The Ministry will not shy away from ensuring these Acts serve both government and the private sector in meaningful ways.”

For now, stakeholders are watching closely to see if this review will bring about long-awaited clarity—or if the sector will remain stuck in the familiar cycle of policy ambiguities.

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