MAN RAISES ALARM OVER NIGERIA’S INDUSTRIAL SECTOR

The Manufacturers Association of Nigeria has warned that Nigeria’s industrial sector is facing serious structural challenges that are slowing growth and threatening jobs.

The warning followed the latest Gross Domestic Product report from the National Bureau of Statistics, which showed that industrial growth fell from 7.46 per cent in the second quarter of 2025 to 3.96 per cent in Q2 2026.

MAN Director-General, Segun Ajayi-Kadir, said the broader industrial sector, which accounted for 17.23 per cent of GDP, was under pressure despite Nigeria recording overall economic growth of 4.43 per cent during the quarter.

He noted that services continued to drive much of the economy, contributing 56.62 per cent of GDP, while industries struggled with high operating costs and other structural problems.

The association identified rising electricity costs, expensive credit, exchange-rate pressures and weak infrastructure as major challenges facing manufacturers.

Manufacturing’s contribution to real GDP also dropped from 9.57 per cent in the first quarter to 7.72 per cent in Q2, while its growth eased slightly to 3.24 per cent.

MAN warned that continued weakness in labour-intensive industries could affect employment and worsen pressure on household incomes.

The association called for urgent measures to improve electricity supply, reduce financing costs and support manufacturers investing in alternative energy sources.

It said strengthening local production would be critical to creating jobs, reducing import dependence and building a more sustainable Nigerian economy.