The federal government has initiated moves to reform the automobile industry to attract companies to invest in the country.
Speaking during a stakeholder consultative yesterday, the Permanent Secretary of the Ministry of Finance, Budget and National Planning (FMFBNP), Engr. Nebeolisa Anako, said the increasing rate of relocation of manufacturing companies from Nigeria to neighboring countries such as Ghana, Benin Republic, among others due to the high cost of doing business is worrisome.
Anako noted that with national, regional and global value chains synonymous with the industry, jobs can be created in countries based on their comparative advantages and Nigeria cannot be an exception.
“In order for us to benefit maximally from the Industry, especially in view of the African Continental Free Trade Area (AfCFTA) window, there is a need for experts and stakeholders in the industry to deliberate, identify, and fashion out a roadmap that will enable government addresses the specific issues affecting the Industry.
“The sector needs to be revived to increase its contributions to the National development as well as the Gross Domestic Product (GDP). The crucial role of the Automobile Industry in the development of Nigeria’s economy cannot be over-emphasized.
“Hence, the Ministry has deemed it necessary to convene the meeting with this very important Sub-Sector of the economy in order to understand the challenges and constraints facing the industry and find ways to ameliorate them in order to encourage optimal performance in the Automobile Industry.”
A facilitator at the event, Prof. Michael Ikupolati, said the sector is not bereft of policies but lack of implementation of previous policies by the government, identifying poor leadership, power supply and high tariff as the major impediments dragging the sector.
