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Nigeria has introduced a new Industrial Policy aimed at reviving dormant factories, boosting domestic manufacturing, and repositioning the country as a competitive industrial hub.
The Minister of State for Industry, John Owan Enoh, announced the framework during an engagement with members of the Nigerian Guild of Editors, describing industrialisation as central to the nation’s economic transformation.
Enoh said that while trade and investment remain important pillars of growth, sustainable prosperity depends on strong productive industries capable of competing globally. He noted that the policy aligns with President Bola Ahmed Tinubu’s Renewed Hope agenda, particularly its focus on local content development, import substitution and industrial self-sufficiency.
According to the minister, he recently toured several once-thriving but currently inactive factories to assess operational challenges and explore strategies for their revival under the new framework.
Policy analysts have described the initiative as a departure from previous industrial strategies, citing its structured implementation plan and built-in accountability measures. The Director-General of the Nigerian Institute for Policy and Strategic Studies, Prof. Ayo Omotayo, said earlier policies faltered largely due to weak execution. He noted that the new framework includes a detailed implementation matrix outlining clear objectives, timelines, responsible actors, deliverables and measurable outcomes.
Key components of the policy include enforcement of a “Nigeria First” procurement approach to prioritise locally manufactured goods, reduction in reliance on imported raw materials, and promotion of value addition across critical sectors of the economy.
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The framework also proposes annual industrial development spending equivalent to three to five per cent of Gross Domestic Product, recapitalisation of the Bank of Industry to ₦3 trillion, and expansion of sector-specific intervention funds to a similar level.
Other measures include harmonisation of tax systems and incentives, improved access to long-term low-interest financing for micro, small and medium enterprises, and the establishment of industrial clusters with shared infrastructure and reliable energy supply. Officials say these steps are intended to reduce production costs, improve competitiveness and attract fresh investment.
The Special Adviser to the President on Industry, Trade and Investment, John Uwajumogu, said the policy seeks to drive exponential economic growth to match Nigeria’s rapidly expanding population. He added that achieving double-digit growth rates is critical to meeting national development goals and disclosed that an Industrial Revolution Working Group has been constituted to coordinate stakeholders and ensure effective implementation.
Stakeholders identified persistent challenges including energy insecurity, limited financing, bureaucratic bottlenecks, skills shortages and weak patronage of local products. However, economists expressed optimism that with strong political will, structured financing and robust accountability mechanisms, the new policy could mark a turning point in Nigeria’s industrial revival and long-term economic transformation.
Observers also stressed the importance of skills development, noting that Nigeria’s youthful population represents a major opportunity if properly equipped for modern manufacturing processes. The policy is expected to integrate vocational training initiatives and partnerships with technical institutions to bridge existing skills gaps.
Government officials further pledged enhanced collaboration with the private sector, emphasising that sustainable industrial growth will require joint ventures, increased foreign direct investment and technology transfer to build a globally competitive industrial base.
