The Manufacturers Association of Nigeria (MAN) has cautioned the federal government not to mistake the recently reported 18.3% year-on-year GDP growth as a sign of meaningful economic progress, citing the nation’s structural industrial challenges and weak real sector output.
Responding to the National Bureau of Statistics (NBS) GDP rebasing exercise, MAN Director General, Mr. Segun Ajayi-Kadir, explained that while the nominal figures reflect statistical expansion, real GDP growth between 2020 and 2024 averaged just 1.95%, a sign of underlying economic fragility.
“The rebased GDP confirms the economy is statistically larger, but not necessarily more productive or industrialised,” Ajayi-Kadir stated in response to a THISDAY questionnaire.
He expressed concern over the decline in the manufacturing sector’s contribution to GDP, which dropped from 27.65% in the 2010 base year to 21.08% in 2019 under the new base year—a trend he said underscores the need for structural industrial reforms.
Ajayi-Kadir noted that while the rebasing reflects changes in the economic structure and updates outdated data, it should not be used to gloss over the need for stronger productivity, industrialisation, and real sector growth.
He urged the government to prioritise: Industrial infrastructure development, Stable macroeconomic policies, Incentives for local production, Import substitution strategies.
The DG maintained that until such reforms are implemented, the manufacturing sector—and by extension, the Nigerian economy—will remain vulnerable to shocks and unable to generate inclusive growth.
