The Governor of the Central Bank of NigeriaThe Governor of the Central Bank of Nigeria (CBN), Dr. Olayemi Cardoso, has called on manufacturers to take the lead in diversifying Nigeria’s foreign exchange earnings. He emphasized that shifting away from the country’s heavy dependence on crude oil is essential for economic stability.
Represented by Mr. Aliyu Ashiru, Director of the Trade and Exchange Department, Cardoso spoke at the 54th Annual General Meeting (AGM) of the Manufacturers Association of Nigeria (MAN) in Apapa. The event, themed “Complementing the Oil Sector, a Major Forex Earner: Strategy for Manufacturing to Fill the Gap,” highlighted the manufacturing sector’s potential to boost the economy.
Cardoso pointed out that crude oil exports currently account for more than 80% of Nigeria’s foreign exchange inflows, making the economy highly vulnerable to global market fluctuations. He stated that the manufacturing sector can significantly conserve foreign exchange, expand exports of value-added products, and create jobs.
According to the CBN governor, a deliberate, coordinated, and long-term strategy is needed to transform manufacturing into a major foreign exchange earner. He listed key strategic pillars for growth, including:
Policy Alignment: The need for a stable and predictable industrial policy that aligns with trade, monetary, and fiscal frameworks.
Infrastructure and Energy: Prioritizing investment in these critical areas.
Access to Finance and Forex: Ensuring manufacturers have the necessary financial support.
Value Addition: Encouraging a shift from exporting raw materials to producing value-added goods, particularly through backward integration in sectors like agro-processing and petrochemicals.
Cardoso also promised that the CBN would continue to support the sector through proactive monetary policies and targeted financing.
Manufacturers Highlight Challenges and Propose Solutions
In his address, the President of MAN, Otunba Francis Meshioye, stressed that the volatility of global oil prices makes diversification urgent. He identified several priority areas, including improved infrastructure, reduced production costs, affordable finance, and the promotion of high-potential export products.
Meshioye also called for government intervention in industrial clusters, specifically mentioning the road networks in the Amuwo-Odofin and Kirikiri areas of Lagos. He noted that firms are willing to help with rehabilitation in exchange for tax breaks, which would improve logistics and competitiveness.
He also urged the government to standardize taxes and levies, especially at the local government level, to curb exploitation and improve compliance among manufacturers.
Similarly, Mr. Raphael Danilola, Chairman of the MAN Apapa Branch, appealed to the government to address operational challenges affecting manufacturers nationwide. He listed key issues like poor road networks, inadequate power supply, rising logistics costs, and insecurity as major hurdles to competitiveness.
Lagos State Government Reaffirms Support
Lagos State Governor, Mr. Babajide Sanwo-Olu, who was represented by Mrs. Folashade Ambrose-Medebem, the Commissioner for Commerce, Cooperatives, Trade and Investment, reaffirmed the state’s support for the manufacturing sector. He described it as a critical pillar for inclusive economic growth.
Sanwo-Olu highlighted his administration’s focus on creating a business-friendly environment where industries can thrive. He stated that the state is actively championing agro-industrial linkages to strengthen local supply chains and is building an innovation-driven economy to support smart manufacturing and increase productivity.
