FG releases N140.8bn to 15,122 businesses to strengthen manufacturing, create jobs

The Federal Government has disbursed a total of N140.8 billion to manufacturing businesses and micro, small and medium enterprises (MSMEs) as part of efforts to boost local production, expand businesses and create employment opportunities.

The Minister of Industry, Trade and Investment, Dr Jumoke Oduwole, disclosed this while delivering an address titled, “Harnessing Nigeria’s Economic Potential for Greater Prosperity”.

According to the minister, the government has fully disbursed the N75 billion Manufacturing Sector Fund to 104 manufacturing companies.

She added that another N65.8 billion had been released to 15,018 MSMEs to support business expansion and strengthen their operations.

Oduwole explained that the interventions were designed to strengthen local industries, increase productive capacity and promote sustainable economic growth.

The disbursements were made under the Federal Government’s N200 billion intervention package, managed by the Bank of Industry (BoI), to support businesses, boost domestic production and create jobs.

The package comprises the N50 billion Presidential Conditional Grant Scheme for nano businesses, the N75 billion FGN MSME Intervention Fund for micro, small and medium-sized enterprises, and the N75 billion FGN Manufacturing Sector Fund for manufacturing businesses.

Oduwole noted that the N75 billion Manufacturing Sector Fund had been fully disbursed to 104 manufacturing businesses, while N65.8 billion had been disbursed to 15,018 businesses under the MSME Intervention Fund as of the first quarter of 2026.

She, however, stressed that the impact of government funding should be measured by stronger businesses, increased production and improved livelihoods rather than the amount disbursed alone.

The minister acknowledged that access to finance remained a major challenge for manufacturers seeking to acquire equipment, purchase raw materials, expand production capacity and create employment.

She said Nigeria’s economic transformation required fiscal discipline, monetary stability and policies that supported domestic production and competitiveness.

According to her, the government is working to remove barriers to investment, production and trade while creating an enabling environment for businesses to thrive.

Highlighting developments in the manufacturing sector, Oduwole said cement manufacturing grew by 11.53 per cent in the first quarter of 2026, while motor vehicle assembly expanded by 5.44 per cent during the period. She added that vehicle assembly grew by 40.6 per cent in 2025, while cassava starch production recorded growth of 474.74 per cent.

“Processing locally grown cassava into industrial starch will support manufacturers, while vehicle assembly will create opportunities for engineers, technicians and supply-chain businesses,” she said.

The minister also highlighted opportunities under the African Continental Free Trade Area (AfCFTA), noting that intra-African trade had grown by 21 per cent.

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