KEY POINTS
- The UN rating put Nigeria in eighth place in Africa.
- Oil exports make it harder for local businesses to develop.
- Experts say Nigeria needs reforms to achieve industrialization.
Nigeria has been ranked 8th on the African Industrialisation Index and 98th globally on the United Nations’ Competitive Industrial Performance Index, highlighting the country’s struggle to convert its oil wealth into competitive industries.
Kelvin Emmanuel, Thematic Lead for Oil and Gas at the Nigerian Economic Summit Group (NESG), disclosed the figures during a pre-Summit dialogue in Abuja. The event carried the theme, “Unlocking Industrial Growth Series: The Evolving Oil and Gas Ecosystem.”
Oil wealth fails to boost manufacturing base
Emmanuel noted that Nigeria’s manufacturing value per person is just $216, compared with $645 in South Africa and $524 in Egypt. He argued that instead of growing industries, oil exports have created an extractive system with little local processing.
He also urged stricter enforcement of the Petroleum Industry Act (PIA) and alignment with Africa’s Agenda 2063. Emmanuel also said that the oil and gas industry needs to make changes to make it more competitive.
Experts call for a new policy direction
Laura Ani, a legal expert and Co-Lead on Mining at the NESG Industrial Policy Commission, said Nigeria is at a turning point and also urged policymakers to move beyond using oil and gas solely as a revenue stream.
Mansur Ahmed, Private Sector co-Chair of the NESG Industrial Policy Commission, further added that ongoing reforms present an opportunity to rethink how oil and gas can fuel long-term development and industrialisation.
