The Nigerian Upstream Petroleum Regulatory Commission has commenced moves to harmonise regulatory processes with the Nigerian Nuclear Regulatory Authority as part of efforts to strengthen radiological safety in oil and gas operations and reduce the cost of doing business in the upstream petroleum sector.

The initiative emerged from a recent meeting between the Chief Executive of the NUPRC, Oritsemeyiwa Eyesan, and the Director-General and Chief Executive Officer of the NNRA, Yau Idris, at the commission’s headquarters in Abuja.

According to a statement issued by the Head of Corporate Communications and Media at the NUPRC, Eniola Akinkuotu, on Sunday, the collaboration is expected to address overlapping regulatory requirements, close existing gaps in oversight, and create a more efficient compliance framework for operators in the industry.

The statement read, “The Nigerian Upstream Petroleum Regulatory Commission is partnering with the Nigerian Nuclear Regulatory Authority in order to enforce radiological safety in oil and gas operations and reduce the overall cost of operations.”

While the NUPRC regulates the technical, commercial, and operational aspects of oil and gas exploration and production, the NNRA is responsible for regulating the possession, use, transportation, and disposal of radioactive materials and radiation-emitting equipment across the country.

Speaking during the meeting, Eyesan stressed the need for greater collaboration among regulators to eliminate duplication and improve the investment climate in Nigeria’s oil and gas sector.

She noted that excessive regulatory requirements often translate into additional costs for operators, ultimately affecting the competitiveness of the industry.

“The only way we can safeguard investments is to reduce our cost of operations, and when you have a multiplicity of laws, the likelihood is that you will have higher costs because each law normally will come with its own fees and charges,” the NUPRC boss said.

Eyesan nominated senior officials from the commission who will work closely with the NNRA on the task ahead.

“We have identified critical areas on both sides and we believe that, as we collaborate, we can close existing gaps,” she said.

Responding, Idris said the cooperation of the NUPRC was crucial because the upstream petroleum industry remains one of the largest users of radioactive sources and radiation-emitting equipment in Nigeria.

According to him, radioactive technologies are widely deployed in well logging, industrial radiography, and nucleonic gauging activities that support oil and gas exploration and production.

He explained that the partnership would enable both agencies to share information and simplify compliance procedures for operators.

“The goal is a single-window approach, where both agencies share information rather than requiring operators to submit the same data twice,” he said.

Idris further stated that, since oil and gas extraction often brings Naturally Occurring Radioactive Materials (NORM) to the surface, the NNRA seeks the assistance of the commission to ensure that operators conduct radiological impact assessments as part of their broader Environmental Impact Assessments, while NORM management protocols are incorporated into the NUPRC’s environmental guidelines for the upstream sector.

The two agencies also agreed to deepen collaboration in training, capacity building, and knowledge sharing on radiation protection and safe operational practices.

The latest partnership comes as the Federal Government intensifies efforts to boost investment in the petroleum sector, increase production, and enhance operational efficiency following the implementation of the Petroleum Industry Act.

On Sunday, The PUNCH reported that Nigeria’s oil and gas sector recorded a 283.3 per cent increase in foreign capital inflows in the first quarter of 2026, but the industry continued to attract only a negligible share of total investments entering the country, official data showed.

Figures obtained from the latest Capital Importation Report released by the National Bureau of Statistics and analysed by our correspondent on Friday showed that the oil and gas sector attracted just $0.46 million in foreign capital during the review period, compared to $0.12 million recorded in the corresponding period of 2025.

Although the year-on-year growth represents a significant percentage increase, the actual value of investments flowing into the industry remained extremely low when compared to the overall capital imported into the Nigerian economy.

The NBS report indicated that total capital importation into Nigeria rose to $10.37 billion in the first quarter of 2026 from $5.64 billion recorded in the same period of 2025, representing an increase of 83.83 per cent.

Nigeria’s trade sector attracted $65.79m in foreign capital in the first quarter of 2026, representing a 91.31 per cent increase from the $34.39m recorded in the corresponding period of 2025, despite a slowdown from the strong inflows recorded in the second half of last year.

Data from the National Bureau of Statistics’ capital importation report showed that foreign investment into the trade sector rose 91.31 per cent year-on-year, underscoring renewed investor confidence in commercial activities and cross-border trade.

The latest inflow, however, fell below the $80.94m recorded in the third quarter of 2025 and the $119.21m attracted in the fourth quarter of 2025, indicating that momentum moderated after two consecutive quarters of strong growth.

The development came as the National Bureau of Statistics National Bureau of Statistics Nigeria reported that trade emerged as the single largest contributor to Nigeria’s Gross Domestic Product in the first quarter of 2026, accounting for 17.89 per cent of total output.

Commenting on the GDP performance, the Chief Executive Officer of the Centre for the Promotion of Private Enterprise, Dr Muda Yusuf, said the sector’s strong contribution reflected improving macroeconomic conditions.

“One of the most significant highlights of the report is the emergence of the trade sector as the single largest contributor to GDP at 17.89 per cent. This reflects the positive effects of improved exchange rate stability, better FX liquidity conditions, easing inflationary pressures and recovering business confidence on commercial activities and trade flows,” Yusuf said.

He, however, cautioned against relying solely on commerce for economic growth. “However, sustainable economic transformation cannot be driven by commerce alone. Long-term growth resilience requires stronger productive capacity, deeper industrialisation and significantly higher domestic value addition,” Yusuf said.

Industry experts also projected that trade would play an increasingly important role in driving growth across Nigeria and the African continent as governments and businesses deepen regional integration under the African Continental Free Trade Area.

In her contribution to The Boardroom Africa 2026 Industry Trends Report, the Chief Executive Officer of Seedtree Capital, Bowale Adeoye, said innovations in trade finance and logistics would accelerate cross-border commerce.

“Trade finance innovation is reshaping intra-African commerce. The shift from dollar-intermediated systems toward continental payment infrastructure is reducing transaction costs and settlement delays while addressing Africa’s $100–120bn trade finance gap,” Adeoye said.

Adeoye observed that platforms such as the Pan-African Payment and Settlement System are helping businesses settle transactions faster in local currencies, thereby improving liquidity and lowering trading costs across African markets.

She also highlighted the growing importance of cold-chain infrastructure in supporting trade resilience. “Cold chain logistics is becoming a critical enabler of Africa’s trade resilience. Historically underdeveloped, the sector is shifting toward technology-enabled, asset-light models that address food preservation and pharmaceutical integrity,” Adeoye remarked.

The Seedtree Capital chief added that local value addition had become a competitive necessity for African economies. “Localisation is no longer aspirational; it is foundational to competitiveness, tariff optimisation, and supply resilience,” Adeoye said.

Similarly, the Chief Executive Officer of NAHCO Commodities Limited, Ijeoma Ezenwa, said Africa’s agricultural sector was increasingly moving from raw commodity exports to value creation through processing and integrated supply chains.

The African Energy Bank is scheduled to launch in September in Abuja, Nigeria’s Federal Capital Territory, the African Petroleum Producers’ Organisation African Petroleum Producers Organisation has said.

According to Argus Media, APPO Secretary General Farid Ghezali acknowledged “several postponements” but said the new deadline is “to make the bank operational in September 2026 in view of the incompressible deadlines from an administrative point of view”.

A planned April start was pushed back to June before APPO members were again mobilised around a third-quarter deadline. At a recent meeting, the Nigerian government reiterated the country’s commitment to the African Energy Bank’s formal commencement of operations.

The bank was established by the APPO and the African Export-Import Bank to address the critical financing needs of Africa’s oil, gas and broader energy sectors and mitigate the global funding pressure against hydrocarbon investments in Africa.

The Minister of State for Petroleum Resources (Oil), Heineken Lokpobiri, and the Executive Secretary of the Nigerian Content Development and Monitoring Board Nigerian Content Development and Monitoring Board, Felix Ogbe, were among the Nigerian delegation who attended the 46th extraordinary ministerial meeting, which was held virtually.

The Nigerian delegation was said to have assured that the country is ready and committed to the bank’s commencement of operations. Ogbe serves as an Executive Board member of APPO, representing Nigeria.

It is reported that the AEB is positioned to become Africa’s premier partner in mobilising private-sector funds for energy projects across the continent, providing accessible and affordable financing for the development of energy projects in Africa.

The bank was originally billed to take off before the end of April and was expected to have held shareholder meetings, appointed management and board, recruited staff and completed other necessary procedures.

However, funding has remained a major challenge even when the Nigerian government said the headquarters of the bank was ready.

Ghezali called on APPO members to redeem their pledges towards the $500m start-up capital before the end of June.

Argus quoted sources as saying that 91 per cent of the capital had been raised and that the Nigerian National Petroleum Company Limited and the Nigerian Content Development and Monitoring Board would make up the balance.

Ghezali said AEB aims to reverse the situation that sees Africa importing more than 60 per cent of its oil products consumption and producing only 12 per cent of global upstream liquids while being home to many of the world’s largest national oil and gas reserves.

The Nigerian Content Development and Monitoring Board said AEB will achieve its aim by “mobilising private-sector funds for energy projects across the continent”.

The APPO boss had stated that the bank will target the financing of 20–30 LNG, petroleum products pipeline, terminals and refining projects by 2030. Projects that monetise natural gas as a transition fuel will take up 40 per cent of AEB’s loan book, and priority will be given to projects that contribute towards the creation of “500,000 to 1 million direct and indirect jobs in the energy value chain”.

But even with the September start, Ghezali said AEB loan-making will only “open at the end of 2026”.

The Central Bank of Nigeria has set a N100m penalty for banks that process foreign exchange transactions without adequate documentation as part of a sweeping compliance regime unveiled in its newly released Foreign Exchange Manual.

Under the offences and sanctions section of the fourth edition of the manual, the apex bank stated, “Authorised dealers shall pay N100m in addition to N10m per transaction” for consummating foreign exchange transactions with inadequate documentation.

The sanction forms part of a broader framework aimed at tightening oversight of Nigeria’s foreign exchange market, strengthening compliance standards, and curbing abuses among authorised dealers and other market participants.

The revised manual, issued by the CBN’s Trade and Exchange Department in May 2026, is the first major update since 2017. It serves as a regulatory guide for banks, authorised buyers, exporters, investors, and members of the public participating in foreign exchange transactions.

According to the CBN, the manual seeks to promote transparency in foreign exchange inflows and outflows, establish clear documentation and reporting requirements, strengthen enforcement mechanisms, and support national economic priorities by ensuring foreign exchange is channelled to productive uses.

Beyond the N100m sanction, the manual introduces a range of penalties for violations in the Nigerian Foreign Exchange Market.

Banks that exceed their approved Net Open Position limits face escalating punishments. A first offender will receive a warning letter, while a second offence attracts a 10-working-day suspension from the foreign exchange market. A third violation will result in a 90-day suspension from the market.

The apex bank also tightened reporting obligations for authorised dealers. Banks are required to submit daily returns on foreign exchange transactions by 10 a.m. for the preceding day and monthly returns within five working days after month-end. Failure to comply attracts sanctions.

Under the new rules, late rendition of returns will attract a penalty of N500,000, while non-rendition carries a minimum fine of N5m and an additional N500,000 for every day the violation continues.

The CBN further warned banks against reallocating foreign exchange funds without regulatory approval, stating that such actions could attract monetary fines, suspension of authorised dealership licences for at least six months, or outright licence revocation, depending on the severity of the breach.

Import-related transactions also received significant attention in the revised framework. The manual requires importers to submit Exchange Control Documents within 90 days of negotiating shipping documents with overseas correspondent banks. Importers who fail to comply will be restricted from conducting valid and non-valid foreign exchange transactions, including the processing of Form M applications.

First-time offenders will face a 90-day restriction, rising to 180 days for a second offence and 360 days for a third. A fourth violation will attract a complete ban from the foreign exchange market.

Where banks fail to report such defaults, they risk sanctions, including a warning and a N10m penalty for each affected transaction.

The manual also imposes stricter obligations on exporters. For non-oil exports, proceeds must be repatriated and credited to exporters’ domiciliary accounts within 180 days of shipment, while oil and gas export proceeds must be received within 90 days.

Exporters that fail to repatriate proceeds within the stipulated period will pay a penalty equivalent to one per cent of the naira value of the outstanding proceeds, while banks that fail to ensure compliance will be fined 0.5 per cent of the outstanding amount.

The manual further empowers the CBN to sanction banks for late approvals of export documentation, non-remittance of export supervision levies, and failure to render returns on export proceeds.

In addition to the sanctions, the revised framework introduces several operational reforms designed to improve market efficiency.

Among the changes are an increase in allowable advance payment for imports from 15 per cent to 30 per cent, the introduction of a permissible import shortfall or excess margin of plus or minus 10 per cent of the Cost and Freight value on Form M, and the removal of processing fees for Form NXP used for exports.

The CBN also introduced provisions covering service exports, technology-related remittances, Pan-African Payment and Settlement System transactions, non-resident investment accounts, and tuition fee remittances of up to $25,000 per semester for undergraduate and postgraduate studies abroad.

The manual additionally removed the mandatory requirement for Form A in remittances funded through ordinary domiciliary accounts, although banks are still required to verify the legitimacy and purpose of such transactions.

The apex bank said the reforms were developed after extensive consultations with banks, exporters, corporates, regulators, and development partners and are intended to support a transparent, rules-based, and market-oriented foreign exchange system.

According to the CBN, the revised manual is expected to improve compliance, reduce transaction bottlenecks, deepen market confidence, attract investment inflows, and strengthen the integrity of Nigeria’s foreign exchange market.

The Governor of the CBN, Mr Olayemi Cardoso, earlier said the initiative reflected the apex bank’s commitment to strengthening macroeconomic stability and modernising Nigeria’s foreign exchange administration.

He said the revised manual became necessary following evolving global economic conditions, domestic structural adjustments, and ongoing reforms in Nigeria’s foreign exchange market.

The Deputy Governor, Corporate Services Directorate of the CBN, Dr Muhammad Abdullahi, said the revised manual formed part of broader reforms initiated under Cardoso’s leadership to restore confidence, improve transparency, deepen liquidity, and strengthen market efficiency.

He said the review was undertaken to align Nigeria’s foreign exchange framework with current market realities and international best practices.

“Our goal is to reduce transaction frictions, improve processing timelines, deepen market confidence, encourage formal market participation, and create a more seamless and efficient experience for legitimate users of Nigeria’s foreign exchange market,” he said.

The Federal Government has said it is partnering with the Food and Agriculture Organisation to strengthen Nigeria’s preparedness, detection, and response to Highly Pathogenic Avian Influenza through a $350,000 intervention that will also train 240 animal health personnel.

The government disclosed this in a statement issued on Thursday night by the livestock ministry following the inauguration of the FAO Technical Cooperation Programme Project on Strengthening HPAI Preparedness, Detection, and Response in Nigeria.

According to the statement, the initiative is designed to improve disease surveillance, laboratory diagnostic capacity, risk communication, and stakeholder coordination under the One Health framework.

The Minister of Livestock Development, Idi Maiha, was quoted as saying that the poultry industry remains vital to Nigeria’s food security and economic growth but continues to face threats from transboundary animal diseases.

“The poultry industry remains a critical component of Nigeria’s livestock sector. However, it continues to face threats from transboundary animal diseases, particularly Highly Pathogenic Avian Influenza, which has remained a recurring challenge since its first occurrence in Nigeria in 2006,” the minister said.

Maiha noted that the resurgence of the disease since 2021 has continued to affect poultry farmers across different scales of operation, with implications for food security and international trade.

“We are concerned because of the destructive effect of avian influenza in Nigeria. It is threatening livelihoods, threatening food security, and threatening international trade. We must work together to restore livelihoods, close gaps in poultry product supply, and reconnect our poultry industry to international markets,” he stated.

The minister commended the FAO for approving and funding the project, describing the intervention as timely and consistent with the Federal Government’s efforts to strengthen disease prevention and control within the livestock sector.

The statement also quoted the Permanent Secretary of the ministry, Dr Chinyere Ijeoma Akujobi, represented by the Chief Veterinary Officer of Nigeria, Dr Samuel Anzaku, as saying that Nigeria has continued to record outbreaks of HPAI annually despite progress made in disease control.

“The epidemiology of the disease has evolved, with outbreaks now affecting multiple avian species. Layer farms remain the most severely impacted segment, resulting in substantial economic losses and disruptions across poultry value chains,” she said.

The FAO representative, Dr Otto Muhinda, reaffirmed the organisation’s commitment to supporting Nigeria in combating transboundary animal diseases and building a resilient poultry industry.

“FAO is proud to partner with the Federal Ministry of Livestock Development and other stakeholders in building a more resilient poultry sector. Through this project, we aim to enhance Nigeria’s capacity for early detection, preparedness, and rapid response to Highly Pathogenic Avian Influenza, thereby protecting livelihoods, food security, and public health.

“Over the next nine months, the project will train 240 animal health personnel, contributing to a stronger frontline workforce capable of preventing and responding to disease outbreaks. It will also support the development of predictive tools to improve preparedness and reduce future risks of HPAI in Nigeria,” he said.

According to the statement, stakeholders, including representatives of the Office of the National Security Adviser, the Veterinary Council of Nigeria, the Nigerian Veterinary Medical Association, the Federal Ministry of Health and Social Welfare, and the Federal Ministry of Environment, stressed the need for collaboration in tackling disease outbreaks.

The ministry stated that Nigeria recorded confirmed outbreaks of HPAI in Kebbi, Kano, Katsina, Plateau, and Bauchi states in 2026, underscoring the continued threat posed by the disease to the poultry industry, food security, and livelihoods.

It added that the FAO-supported intervention would be implemented in seven pilot states to strengthen disease surveillance, improve laboratory diagnostic capacity, enhance biosecurity measures, promote risk communication, and bolster rapid response mechanisms.

NNPC Foundation, the Corporate Social Responsibility arm of NNPC Ltd., has commissioned and handed over a fully installed state-of-the-art 1.5 Tesla Magnetic Resonance Imaging system to the National Orthopaedic Hospital, Dala, Kano State.

This is contained in a statement by the Chief Corporate Communications Officer of NNPC Ltd., Andy Odeh, a copy of which was made available to PUNCH Online on Friday.

The intervention, which is in furtherance of NNPC Ltd’s commitment to improving healthcare access and strengthening medical infrastructure across Nigeria, is expected to enhance the diagnosis and treatment of orthopaedic, neurological, trauma, musculoskeletal, and gynaecological conditions.

“Before the intervention, patients needing advanced MRI diagnostic services often faced challenges of travelling long distances, longer waiting times, and delays in care due to high cost and availability,” the statement partly read.

Speaking at the ceremony held on the hospital’s premises in Kano on Thursday, the Group Chief Executive Officer of NNPC Ltd., represented by the Managing Director of NNPC Foundation, Mrs Emmanuella Arukwe, said the donation is part of a wider corporate goal and focus to contribute strategically to national healthcare development.

“At NNPC Limited, we are intentional about ensuring that our social investments are impactful, sustainable, and beneficial to the communities we serve. Through the NNPC Foundation, we will continue to implement interventions that create measurable social value across Nigeria,” he said.

He described the intervention as timely and necessary, noting that it presents an opportunity to strengthen Nigeria’s healthcare system amid challenges of infrastructure deficits, equipment limitations, and increasing demand for specialised services.

Also speaking, the Executive Vice President, Business Services, NNPC Ltd., Mrs Sophia Mbakwe, represented by the Executive Director, Programme Management at the NNPC Foundation, Mrs. Rose Okonkwo, said NNPC Limited goes beyond crude oil production to impact lives positively, reaffirming the company’s commitment to improving the well-being of Nigerians as well as strengthening key national institutions.

“Today’s event is a testament to our steadfast commitment to delivering measurable impacts and scalable, sustainable interventions to communities across Nigeria, inclusively targeting underserved and vulnerable members of society.

“By this intervention, NNPC Limited aims to strengthen healthcare delivery and improve the quality of life of the people of Kano State, the North-West geopolitical zone, and, by extension, all Nigerians who depend on the National Orthopaedic Hospital, Dala for specialised medical care,” she stated.

In his remarks, Kano State Governor Abba Yusuf, who was represented by the Commissioner for Health, Abubakar Labaran Yusuf, commended NNPC Foundation for the donation, describing it as a major milestone in improving healthcare services in the region through early and accurate diagnosis and care.

The Chief Medical Director of the hospital, Dr Isa Nurudeen, expressed appreciation to NNPC Ltd. for the intervention, noting that the donation will have a transformative impact on the hospital’s operations and services.

The Nigerian equities market closed Thursday’s session in negative territory, extending its bearish run to the fourth consecutive trading day as profit-taking in heavy and mid-cap equities dragged down key performance indicators.

At the close of trading, the overall market capitalisation value shed N581bn or 0.37 per cent to seal the day at N155.359tn, down from N155.940tn recorded in the previous session.

Similarly, the All-Share Index retreated by 905.30 absolute points, representing a decline of 0.37 per cent, to close at 242,227.31 points. The negative outing was largely driven by price depreciation in large and medium-capitalised stocks, including Aradel Holdings, UACN, Stanbic IBTC Holdings, Eterna, and Transnational Corporation.

Market breadth closed negative as 30 decliners outpaced 24 advancers, reflecting dominant bearish sentiments.

On the laggards’ log, McNichols led the losers’ chart with a maximum price plunge of 10 per cent to close at N7.74 per share. Associated Bus Company followed closely, declining 9.88 per cent to finish at N6.20 per share, while Eterna lost 9.85 per cent to close at N29.75 per share.

Energy giant Aradel Holdings also suffered a 9.51 per cent drop to close at N1,749.90 per share, while NPF Microfinance Bank slipped 8.45 per cent to settle at N5.20 per share.

Conversely, International Energy Insurance recorded the highest price gain, rising 10 per cent to close at N6.60 per share. Omatek Ventures followed on the gainers’ log with a 9.73 per cent increase to close at N2.03, while Ellah Lakes and Abbey Mortgage Bank both appreciated 9.68 per cent to close at N8.50 per share. Cutix also registered a 9.66 per cent gain to close at N3.18 per share.

Activity metrics weakened as total volume traded plummeted 43.4 per cent to 522.28m units, valued at N24.11bn, and exchanged in 53,613 deals.

Transactions in the shares of Access Holdings topped the volume-driven activity chart with 109.719 million shares valued at N2.617m. FCMB Group followed with 34.599m shares worth N384.162m, while Nigerian Exchange Group transacted 28.045m shares valued at N3.889bn.

Zenith Bank traded 26.937m shares valued at N3.318bn, while Sterling Financial Holdings Company filled the top-five volume spot with a turnover of 22.492 million shares worth N176.098m.

Shareholders of Ecobank Transnational Incorporated have approved all resolutions tabled at its 2026 Annual General Meeting in Lomé, including a $40m dividend payout for the 2025 financial year following a record fiscal performance.

The dividend distribution, which translates to 0.16 US cents per share, represents the financial institution’s first dividend payout to investors since 2022.

For the year ended 31 December 2025, the pan-African banking group reported a record profit before tax of $801m, representing a 21 per cent growth year-on-year compared to the previous period.

Net revenues for the conglomerate climbed 17 per cent to hit $2.45bn, while its pre-provision, pre-tax operating profit jumped 29 per cent to $1.265bn, underlining significant operational momentum across its geographic footprints.

Addressing investors at the meeting, the Chairman of the Board of Directors, Papa Ndiaye, tied the improved metrics directly to the group’s corporate recovery roadmap.

“Our strong 2025 financial performance has marked the return to dividend payments to our shareholders. This $40m dividend is a direct reflection of the resilience of our unrivalled pan-African model, institutional maturity, and our staff’s skill and discipline.

“This achievement is a good illustration of my absolute confidence in the strength of the group to continue delivering sustainable growth and value across the continent,” Ndiaye said.

He added that the lender’s performance strongly validates the strategic safety net provided by a highly diversified regional structure, which shields the broader balance sheet from localised macroeconomic shocks.

Corroborating the chairman’s position, the Chief Executive Officer of Ecobank Group, Jeremy Awori, explained that the ongoing execution of its Growth, Transformation, and Returns strategy remains central to the expansion.

He said, “Our shareholders once again strongly reaffirmed their confidence in our GTR strategy. Thanks to our deliberate and structured approach to growth, we are bringing value to our shareholders while transforming payments and trade across our 34 markets.

“Steadily, our pan-African model is building the infrastructure that will enable the future of the continent’s financial architecture.”

The financial reports indicate that the tier-1 lender maintained a capital adequacy ratio of 16.7 per cent, placing the group roughly 420 basis points above the regulatory minimum required for seamless cross-border banking operations.

Operational efficiency also reached a historic milestone, with Ecobank’s cost-to-income ratio dropping to an all-time low of 48.3 per cent during the period under review.

The Manufacturers Association of Nigeria has said that recent government interventions, including the Naira-for-Crude initiative, the Nigeria Industrial Policy, withholding tax exemptions, expanded VAT deductibility on fixed assets and services, phased reductions in Companies Income Tax, tax incentives for research and development, and fiscal relief measures for small and medium industries, could revive the manufacturing sector if properly implemented.

The group noted that manufacturers had borne the brunt of economic reforms introduced over the past three years, which led to soaring production costs, declining capacity utilisation, reduced access to credit and significant job losses.

In the organisation’s recent three-year government assessment document, MAN Director-General Segun Ajayi-Kadir stated that the reforms had laid the foundation for long-term economic restructuring but stressed that implementation must now focus on industrial recovery and growth.

Ajayi-Kadir stated, “The Nigeria Industrial Policy and the renewed emphasis on local content procurement through the Nigeria First framework equally represent important steps toward strengthening domestic industrial capacity. If properly implemented and consistently enforced across all government institutions, these initiatives could significantly improve market access for locally manufactured goods, deepen local value addition and stimulate industrial expansion.”

MAN’s DG noted that the implementation of the Naira-for-Crude initiative had reduced foreign exchange pressure within the downstream petrochemical and plastics value chain, while fiscal measures that zero-rated VAT and excise duties on pharmaceutical raw materials and medical devices had provided relief for local manufacturers.

He added that the 2025 Tax Reform Act introduced key provisions capable of improving the industrial climate, including withholding tax exemptions, expanded VAT deductibility on fixed assets and services, phased reductions in Companies Income Tax, incentives for research and development, and fiscal relief for small and medium-scale industries.

The MAN boss also stated that the ongoing harmonisation of levies across states could help reduce the burden of multiple taxation, while the National Single Window platform offers an opportunity to simplify trade procedures and improve supply chain efficiency.

Despite the positive outlook, MAN said manufacturers faced severe challenges following the removal of fuel subsidies, exchange rate liberalisation, electricity tariff increases and tight monetary policies.

Ajayi-Kadir said the removal of the fuel subsidy in May 2023 caused logistics and distribution costs to surge by more than 300 per cent within weeks, while electricity tariffs for Band A consumers rose from about N68 per kilowatt-hour to between N209 and N225 per kilowatt-hour.

He said manufacturers continued to rely heavily on alternative energy sources because the electricity supply remained stable, noting that expenditure on alternative energy rose from N781.68bn in 2023 to N1.11tn in 2024 and further increased to N1.34tn in 2025.

The association disclosed that manufacturing capacity utilisation declined from 61.3 per cent in the first half of 2025 to 57.7 per cent in the second half, while more than 18,900 jobs were affected during the period under review.

Ajayi-Kadir also said exchange rate liberalisation increased the cost of imported industrial inputs, with the naira depreciating from about N463 to the dollar in June 2023 to N899 by December 2023 and later to approximately N1,535 by December 2024.

He said, “Consequently, the cost of imported raw materials rose from N3.04tn in 2023 to N6.64tn in 2024, representing an increase of about 118 per cent. Manufacturing value-added also declined significantly from $45.2bn in 2023 to $21.84bn in 2024.”

The association further stated that inadequate access to foreign exchange at the official market remained a challenge, with less than half of industrial demand currently being met.

MAN added that high interest rates had constrained industrial expansion, noting that prime lending rates averaged 24.4 per cent as of March 2026, while maximum lending rates reached 33.8 per cent in several commercial banks.

According to Ajayi-Kadir, credit to the manufacturing sector fell from N10.88tn in February 2024 to N6.6tn by December 2025, adding that manufacturers also grappled with fluctuating customs duty assessments linked to exchange rate volatility, making business planning and pricing difficult.

The association urged the Federal Government to prioritise affordable access to foreign exchange for productive activities, concessionary financing for industrial investment, stable electricity supply and predictable trade policies.

Ajayi-Kadir said, “Nigeria cannot achieve sustainable economic prosperity without a strong manufacturing base. The country’s long-term resilience depends on its capacity to produce competitively, create jobs locally and expand industrial value addition.

“The current reforms can still deliver meaningful industrial transformation if implementation becomes more coordinated, more responsive to productive sectors and more focused on reducing the structural constraints limiting manufacturing performance.”

MAN’s position is reinforced by the recent African conversation about manufacturing as a national security policy.

In her contribution to The Boardroom Africa 2026 Industry Report, Founder and Managing Director, Senvoice, Marième Doukouré-Amoa, observed that African markets’ tightening of mining codes and local content oversight reflect “a shift away from passive participation in global value chains toward embedding resilience and domestic industrial capacity.”

She noted that “trade and supply chain norms have been fundamentally disrupted, exposing the fragility of systems built on uninterrupted material flows and stable processing capacity.”

Doukouré-Amoa explained that as globalisation faces structural strain, Industrial, manufacturing, and metals strategies are being recalibrated around supply security, regional processing, and long-term value retention.