The Manufacturers Association of Nigeria (MAN) noted that while Q2 2026 GDP expanded by 4.43%, industrial production continues to face headwinds from high operational costs and energy overheads. The divergence between GDP growth and industrial production highlights the challenges facing the manufacturing sector.
The GDP growth is welcome, but the manufacturing sector is struggling to keep up. High operational costs, unreliable power supply and weak demand are holding back industrial production. The government must address these challenges if the manufacturing sector is to contribute fully to economic growth.
The winners: the Nigerian economy, which is growing; and the manufacturers who are able to survive. The losers: the manufacturers who are struggling; and the Nigerian government, which must address the challenges facing the sector.
Bottom Line: The economy is growing, but manufacturers are struggling. The GDP number is hiding the pain. The question is whether the government will act to support the manufacturing sector.