The federal government on Tuesday, February 17, said it plans to allocate N800 billion to the agro-processing and renewable energy sectors under the National Industrial Policy 2025.
The government announced the plan in the national industrial policy report, launched by the ministry of trade, industry, and investment.
According to the report, the government intends to set aside 3 percent to 5 percent of Gross Domestic Product (GDP) annually toward industrial development financing.
The report said the government targets allocation of sector-specific credit quotas, such as N500 billion for agro-processing and N300 billion for renewable energy.
Also, the government said it is reinforcing and recapitalising domestic Development Finance Institutions (DFIs) in collaboration with continental and international DFIs to address industries’ long-term funding needs at single-digit interest rates through strategic policy actions.
The government said some of its planned actions include increasing the Bank of Industry (BOI) capital to ₦3 trillion by 2026 and expanding sector-specific intervention funds for industries from ₦1 trillion to ₦3 trillion, as part of its stabilization plan.
It also announced a 5-year implementation roadmap (2025–2030) with goals to achieve policy stability, roll out Public-Private Partnership (PPP) frameworks, upgrade infrastructure, and expand financing for Micro, Small and Medium Enterprises (MSMEs).
The government intends to use PPPs to fund industrial projects, combining government support with private sector efficiency.
The Central Bank of Nigeria (CBN) will develop ways for commercial banks to increase lending to priority industries.
Additionally, the government plans to provide credit guarantees to lower lending risks and improve access to financing for industrialists and entrepreneurs.
Efforts will also focus on creating opportunities for modern financial tools like equity financing, venture and impact capital, crowdfunding, and factoring.
The policy also aims to bring 1,000 new exporters into African Continental Free Trade Area (AfCFTA) markets by 2027.
This includes negotiating and implementing bilateral and multilateral trade agreements, strengthening trade negotiation skills, and helping Nigerian companies join global value chains.
The onboarding of these exporters is part of efforts to improve competitiveness in marketing and distribution within Nigeria.
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