The Director General of the Manufacturers Association of Nigeria (MAN), Mr Segun Ajayi-Kadir, has said the association is not calling for subsidies from the government but rather strategic interventions to revive the country’s struggling manufacturing sector.
Speaking in an interview on ARISE NEWS on Wednesday, Mr Ajayi-Kadir clarified the association’s position, stating that they are advocates of a private-sector-led economy and not in favour of subsidy regimes.
“We are a private sector group, and we would not be asking for subsidies,” he said.
He further noted that, “As a matter of fact, we were one of the advocates for subsidy removal in whatever form. What we are asking for is specific intervention.”
Highlighting areas where government support is most needed, the MAN DG pointed to the cost of power, unresolved foreign exchange obligations, and access to credit facilities.
“For instance, in the cost of power, we believe that, particularly in industrial zones, there should be an attempt, I mean, there should be an effort of government to reduce the cost in those areas. The 250% increase we had in electricity is way too high,” he said.
Ajayi-Kadir also stressed that the federal government is yet to fully disburse the promised N1 trillion stabilisation fund for the manufacturing sector.
“The $75 billion that manufacturers were given recently had been fully disbursed by BOI, and we are awaiting the $1 trillion that was promised in the stabilisation plan. Government should speed up the process of dispensing those funds to manufacturers because we actually have about $5 trillion financing needs for the manufacturing sector, and this is by UNIDO. So this needed to be given effect. At least let’s start with the $1 trillion,” he said.
He added that insecurity in the Northeast has also hindered industrial productivity, calling for immediate government action to restore operations in the affected areas.
“We want government to be able to support so that we’ll be able to have them return to the factories so that they will be able to produce,” he stated.
Ajayi-Kadir insisted that with the right interventions, the sector can contribute meaningfully to inclusive growth, job creation, and national development.
Erizia Rubyjeana
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