Nigeria's Investment Levels Too Low to Create Jobs, NESG Warns Ahead of October Summit
By Aboki Forex —
The Nigerian Economic Summit Group (NESG) says Nigeria's investment levels remain below what is required to generate the jobs, productivity gains and inclusive prosperity needed by its growing population. The group made the position in a statement on Monday by Ayanyinka Ayanlowo, head of strategic communication and advocacy at NESG.
NESG says the country must increase investment in businesses, industries and human capital to create jobs and boost productivity. The statement comes ahead of its summit, themed 'Growth that Works: Delivering Jobs, Productivity and Shared Prosperity', scheduled for October 26 and October 27 in Abuja.
Reforms are only the first step
The group said recent reforms aimed at stabilising the macroeconomic environment, improving fiscal sustainability and restoring investor confidence were necessary, but represent "only the first step".
"Economic transformation does not happen by chance. It is built on investment, investment in businesses, industries, infrastructure, innovation, and most importantly, people," the statement reads.
"The next challenge is translating stability into productive investment that expands businesses, creates jobs, raises incomes, and improves living standards."
NESG said the summit will explore ways to mobilise domestic and foreign investment into agriculture, manufacturing, infrastructure, technology, energy, mining, logistics and the creative economy.
It identified infrastructure deficits, limited access to long-term finance, regulatory uncertainty and elevated business costs as factors that have constrained Nigeria's productive potential.
Discussions at the summit will focus on improving infrastructure financing, expanding access to credit for businesses, strengthening public-private partnerships, promoting industrialisation and building competitive value chains.
Micro, small and medium enterprises (MSMEs) will also receive particular attention because of their role in the economy. "Improving access to finance, reducing regulatory burdens, and supporting business formalisation will be recognised as critical pathways for accelerating investment, enterprise," NESG said.
Human capital investment key to productivity
NESG said the investment agenda would extend beyond physical and financial capital to human capital development. The think tank said gaps remain in education outcomes, healthcare access, workforce readiness and skills development, despite Nigeria having one of the world's youngest populations.
The summit, NES #32, will also examine investments in education, healthcare, digital literacy, vocational training and workforce development. Particular focus will be on aligning skills development with labour-market demand and equipping young Nigerians with competencies required by a changing economy.
"Economic growth ultimately depends on people. No nation can achieve sustainable prosperity without investing in the knowledge, health, skills, and capabilities of its citizens," the statement reads.
The group said the summit will examine innovative financing mechanisms, public-private partnerships and technology-enabled solutions for expanding access to human capital services.
"Investment in industries and investment in people are mutually reinforcing," NESG said. "Stronger businesses create jobs, generate incomes, and expand economic opportunities. A healthier, better-educated, and more skilled workforce increases productivity, innovation and competitiveness."
What it means for Nigerian businesses
NESG advised the government to keep strengthening the policy environment while the private sector expands productive investment and innovation. It asked development partners to support catalytic financing and capacity-building, and urged educational institutions to prepare Nigerians for the demands of a changing economy. For businesses, the message is that stability alone will not lift output. Credit access, regulation and skills remain the binding constraints.