The Federal Government says it has mobilised more than $380 million in financing within the first 90 days of implementing the Nigeria Industrial Policy (NIP) 2025, as it seeks to revive manufacturing, deepen value addition and strengthen the country’s competitiveness under the African Continental Free Trade Area (AfCFTA).
The disclosure was contained in a 90-day progress report released on Friday by the Office of the Minister of State for Industry, Senator John Owan Enoh.
According to the report, the financing package is anchored by a $369 million facility from the African Development Bank (AfDB) for the MSME Industrial Clusters Programme and a $12 million entrepreneurship centre being supported by the Korea International Cooperation Agency (KOICA), the United Nations Development Programme (UNDP) and the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN).
The report also highlighted plans for a proposed ₦350 billion MSME Development Fund backed by a consortium comprising FSL Capital, Fidelity Bank and IICL.
The government said the funding forms part of efforts to translate industrial policy objectives into concrete projects, investments and jobs across key sectors of the economy.
Nigeria’s industrial sector has struggled for years with infrastructure deficits, high energy costs, limited access to finance and weak linkages between agriculture and manufacturing. Economists have repeatedly identified industrialisation as critical to reducing dependence on crude oil revenues, expanding exports and creating employment opportunities for the country’s growing population.
Against this backdrop, the government said it had prioritised sectors with strong potential for value addition and export growth, including cocoa, textiles, sugar and emerging industries such as electric vehicle manufacturing.
One of the major initiatives highlighted in the report is a renewed focus on cocoa processing. Although Nigeria ranks among the world’s leading cocoa producers, much of its harvest is exported in raw form, leaving most of the value generated from processing and manufacturing to foreign markets.
To address this, the government is supporting efforts to strengthen domestic processing capacity and promote local manufacturing of cocoa-based products.
A National Cocoa Value Chain Summit is scheduled to hold in Abuja on July 14, with the Bank of Industry serving as a key partner. The summit is expected to bring together stakeholders across the value chain to explore opportunities for investment and industrial expansion.
The report stated that the objective is to ensure that a greater share of the economic benefits associated with cocoa production remains within Nigeria.
The industrial policy also targets the revival of the cotton, textile and garment sector, once one of Nigeria’s largest employers. Under the National Cotton, Textile and Garment Industrial Transformation Programme, the government said it has begun reconnecting cotton farmers, textile mills and garment manufacturers through a market-driven approach.
A revised policy framework for the sector is expected to be unveiled soon, while plans are underway to establish a dedicated institution to coordinate activities across the value chain.
In the sugar industry, the report indicated that major operators have reaffirmed investment commitments following engagements with government officials.
According to the ministry, Dangote Sugar Refinery is targeting production of about 600,000 tonnes annually by 2030, while Sunti Golden Sugar Estates plans to reach about 300,000 tonnes. LASUCO was also identified as having the potential to become one of the country’s largest integrated sugar facilities with projected annual output of approximately 210,000 tonnes.
The government is also seeking to establish a foothold in the electric vehicle market. The report disclosed that an agreement has been signed with the Asia Economic Development Committee for the development of electric vehicle assembly plants and charging infrastructure in Nigeria.
Officials said the arrangement is expected to support technology transfer and help build domestic manufacturing capacity in a sector projected to experience significant global growth over the coming decades.
Trade policy measures have also been deployed to support industrial objectives.
The report noted that the ban on raw shea nut exports has been extended until February 2027 to encourage local processing of shea butter, oils and cosmetics. Industry stakeholders have argued that increased domestic processing could generate higher earnings and create more jobs, particularly for women who dominate the shea value chain.
In addition, 131 Nigerian companies producing 220 products recently received African Quality Marks, certification intended to facilitate access to markets across the continent under AfCFTA.
The government said human capital development remains an important component of the industrial strategy.
According to the report, 620 Nigerians received technical training during the review period. The beneficiaries included 400 youths trained in mechatronics across Yobe, Lagos, Kano and Zamfara states, as well as 220 artisans trained under the Industrial Training Fund’s Skill Up Artisan programme.
Efforts are also underway to improve energy access for industrial operators. The report disclosed that work is progressing to provide dedicated gas supply to the Idu Industrial Park in Abuja by August 2026.
Manufacturers have long cited unreliable and expensive power supply as one of the biggest obstacles to industrial growth in Nigeria. Industry groups estimate that many firms spend a substantial portion of operating costs on self-generated electricity, affecting competitiveness and profitability.
Commenting on the progress recorded so far, Enoh said the effectiveness of industrial policy should be measured by tangible outcomes rather than policy declarations.
“Industrial policy earns its keep in the present tense. For ninety days we set out to prove that the Nigeria Industrial Policy would be measured by what it builds, not by what it announces,” he said.
The minister added that initiatives in cocoa, textiles, sugar and electric vehicles had moved beyond policy proposals and were beginning to take shape through projects, contracts and employment opportunities.
The report said the next phase of implementation will focus on scaling the MSME cluster programme with AfDB support, launching the revised cotton, textile and garment policy, completing the Idu Industrial Park gas project and strengthening monitoring mechanisms across all eight strategic objectives of the industrial policy.
