A Recap Of 2023's Arbitration Highlights In Ghana & Nigeria: An Eye On The Future

• Published date: 06 March 2024
• Subject Matter: Litigation, Mediation & Arbitration, Arbitration & Dispute Resolution
• Law Firm: Templars
• Author: Mr Adewale Atake, Funmi Iyayi and Orji Agwu Uka, MCIArb

Introduction

For many decades, arbitration has remained the mechanism of choice for the resolution of disputes between and among commercial parties. Owing to its well documented benefits - arbitration is perceived to be faster, more business-friendly, and efficient - countries have historically competed, and indeed continue to compete, through legislation, court decisions and policies to have their jurisdictions perceived as arbitration friendly.

Using Nigeria as an illustrative example, the need not to be left behind significantly accounted for the signing into law of the Arbitration and Mediation Act 2023 by former President, Muhammadu Buhari. The law, together with the decision of the Commercial Court of England & Wales in The Federal Republic of Nigeria v Process & Industrial Developments Ltd¹ which led to the setting aside of the now infamous US$6.6 billion arbitral award against Nigeria, constituted some of the biggest talking points in the arbitration community not just in Nigeria but all over the world.

There were also significant developments in the arbitration space in Ghana such as the US$275 million UNCITRAL claim against Ghana by an Australian gold mining company, Cassius Mining on 3 February, which came just 4 days after the State had defeated another UNCITRAL claim by a Chinese company over a cancelled contract to build an intelligent traffic management system.

In what follows, we discuss the above and other pertinent Arbitration-related developments in Ghana and Nigeria in the year ended 2023 while also predicting the themes that are likely to drive the conversation in 2024.

Legislative Development

The Nigerian Arbitration and Mediation Act 2023

On 26 May 2023, former President Muhammadu Buhari signed into law the Arbitration and Mediation Act 2023 ("AMA") which repealed and replaced the...