Leasing for Progress: Modernising Nigeria’s Public Procurement

By Sufuyan Ojeifo

A modern government demands modern tools. In Nigeria’s push for efficient service delivery, integrating equipment leasing into the national procurement framework marks a shift from heavy upfront capital spending to smarter, flexible asset management.

Through a Memorandum of Understanding signed in October 2025, the Bureau of Public Procurement (BPP) and the Equipment Leasing Registration Authority (ELRA) are harmonising the Public Procurement Act 2007 and the Equipment Leasing Act 2015 to create a transparent pathway for lease transactions across Ministries, Departments, and Agencies.

For decades, procurement of high-value assets like hospital equipment, ICT infrastructure, and transport fleets strained annual budgets and delayed projects. Leasing offers a practical fix. It lets MDAs use critical equipment through predictable periodic payments, preserving budget flexibility and speeding up service delivery.

As ELRA Registrar/CEO Donald Wokoma put it, the partnership is “a new era in Nigeria’s public procurement framework, one that promotes transparency, efficiency, and fiscal prudence”. He added that the collaboration “will reduce fiscal pressure on government budgets, enhance service delivery, and improve asset management, aligning with the Renewed Hope Agenda and Nigeria’s drive toward economic diversification and sustainable growth”.

The model also fits operational reality. Technology becomes obsolete fast. Leasing allows MDAs to upgrade at the end of a cycle, with maintenance and insurance often built into agreements. That cuts administrative burden so hospitals, schools, and transport agencies can focus on core mandates instead of equipment upkeep.

BPP Director-General Dr. Adebowale Adedokun described the MoU as “timely and strategic”. He noted that “leasing offers a sustainable financing mechanism that enhances service delivery while safeguarding public resources”, and stressed that “by working with ELRA, we are ensuring that leasing transactions in the public sector are transparent and deliver real value for money”. 86dd

Enforcement is built in. Possession of an ELRA registration certificate is now mandatory for all leasing firms engaging with public institutions. BPP will not issue a Certificate of No Objection for any lease arrangement not duly registered with ELRA. This closes the gap for unregistered operators and protects public funds.

Capacity building underpins the reform. Both agencies will develop policy guidelines and standard documents, train procurement officers across MDAs, integrate ELRA’s registration system into the procurement workflow, and pilot leasing projects in health, education, transport, agriculture, and ICT.

This is more than a procurement tweak. It’s an evolution in public financial management. Leasing stretches public funds further, supports simultaneous project execution, and ensures institutions access equipment that meets modern efficiency and safety standards.

Under Dr. Adedokun’s leadership, BPP is pushing reforms that align Nigeria with global best practices. For ELRA, the partnership amplifies its mandate to regulate, promote, and develop the leasing industry.

By embedding leasing into procurement, Nigeria takes a practical step towards the Renewed Hope Agenda: a government that thinks ahead, manages resources wisely, and builds systems that deliver lasting benefit. The real win is quiet but strategic—expanding opportunity and strengthening the state’s capacity to meet citizens’ needs without breaking the budget.

■ Sufuyan Ojeifo is a journalist, publisher, and communication consultant.