Nigeria's Manufacturing Sector Stuck in Low Growth

The Centre for the Promotion of Private Enterprise (CPPE) has stated that Nigeria's manufacturing sector is trapped in a low growth equilibrium after 26 years of uninterrupted democracy. In a press statement titled "Manufacturing in a Democracy: Stories of Resilience Amid Structural Adversities," CPPE assessed the outcomes of Nigeria's democratic journey, highlighting that the manufacturing sector's contribution to GDP has remained between 9% and 10%.

Dr. Muda Yusuf, Chief Executive Officer of CPPE, noted that despite various policy reforms, there has been a lack of significant industrial transformation. The report pointed out the decline of key industries, including petroleum refining, textiles, and battery manufacturing, with many once-thriving sectors now either significantly diminished or completely vanished.

The public refineries have deteriorated, symbolizing institutional dysfunction, while the textile and tyre industries have also faced severe contractions, leading to a weakened industrial base reliant on imports.