MAN President Envisions Positive Growth in 2026, Despite Weak Policy Coordination in 2025

The President of the Manufacturers Association of Nigeria (MAN) Otunba Francis Meshioye has expressed his optimism of a positive growth in the sector in 2026 despite weak policy coordination in 2025.

President of MAN made this assertion in his speech during the 2026 Edition of the MAN Media Personality of the Year Award and Presidential Media Luncheon Wednesday, January 28, 2026, in Lagos.

“The outlook for Nigeria’s economy in 2026 is broadly positive. For us in the manufacturing sector, this means opportunity, but only if the right policies are in place. MAN projects the sector to grow by 3.1% this year, contributing over 10% to GDP. To achieve this, our advocacy will focus squarely on the fundamentals that matter most to industry.

He declared that their priorities in 2026 are clear: Canvassing capital expenditure that supports manufacturing; Securing affordable and reliable energy for industry; Expanding access to long-term, low-cost finance; Restraining excessive taxation and regulatory burdens; Promoting policy consistency and predictability as well as Championing patronage of made in Nigeria products.

He explained that in practice, this means sustained engagement to ensure investments in power, transport, and other industrial infrastructure are fully delivered; advancing gas to power solutions and grid modernization; expanding credit intervention programmes; and redressing fiscal and regulatory measures that undermine competitiveness.

MAN he stated further, will adopt a more structured, evidence driven advocacy strategy this year, engaging early with government on budget priorities, producing concise policy briefs backed by data, and building stronger alliances within the organised private sector.

“Our message will be simple but firm: manufacturing is central to jobs, exports, and fiscal sustainability. When manufacturing thrives, Nigeria thrives. We are fully aware of the early onset of the political activities in 2026 and we have seen the need to continuously ensure that Government does not relegate the wellbeing of the economy to the background, on account of politicking.

“There is no gainsaying that manufacturing remains central to Nigeria’s economic transformation. A thriving manufacturing sector means jobs, exports, innovation, and shared prosperity. Simply put: when manufacturing wins, Nigeria wins. Government must therefore see manufacturing not as a sector to manage, but as a partner to empower,” he added.

He recounted that in 2025, the manufacturing sector continued to grapple with familiar macroeconomic constraints, including persistent infrastructural deficits, multiple taxation, onerous regulatory requirements, weak policy coordination, elevated energy costs, and other deep-seated structural bottlenecks, adding that these challenges once again underscored the fragility of the operating environment for manufacturers.

He noted that manufacturers entered the year with cautious optimism and a renewed commitment to proactive advocacy on issues affecting members’ operations and competitiveness, but prevailing macroeconomic pressures weighed heavily on business sentiment.

Meshioye, cited the Manufacturers CEOs’ Confidence report, noting that the index, which tracks manufacturers’ expectations and operating impulse, declined to 53.2% in Q1 2025 from 56.0% in Q4 2024, before further easing to 50.3 % in Q2 and only marginally recovering to 50.7% in Q3.

He stressed that this subdued confidence trajectory reflected the unfriendly macroeconomic environment during the period as interest rates remained elevated at 27.5% through much of the year, significantly increasing borrowing costs and constraining access to credit.

He lamented that the situation was further exacerbated by erratic public power supply, compelling manufacturers to rely heavily on alternative energy sources, with an estimated N676.6 billion expended on energy cost in the first half of 2025 alone.

He pointed out that while the broader economy recorded disinflation in 2025, with headline inflation moderating from 27.61% in January to 15.15% in December, price levels remained elevated, stressing that the disinflation was supported in part by relative exchange-rate stability, as the Naira appreciated by 6.4% to close the year at N1,443 per US dollar in December from N1,541 per US dollar in January, marking the first annual appreciation in seven years.

The MAN President noted that persistent double-digit inflation continued to erode consumers’ purchasing power, thereby dampening demand for manufactured goods.

In his words: “Despite these headwinds, the manufacturing sector demonstrated notable resilience. Capacity utilisation improved to 61.3%, up from 57.6% in the second half of 2024. Export performance strengthened, with the sector’s export value rising to N978.53 billion in Q3 2025 from N803.8 billion in Q2 2025. Similarly, the sector’s contribution to GDP averaged 8.36% in Q3 2025, compared with 8.24% in 2024. Sectoral growth also remained in positive territory, with output expanding by 1.69%, 1.60%, and 1.25% in Q1, Q2, and Q3 2025 respectively, reflecting the underlying resilience of manufacturers despite a challenging operating environment.

He disclosed that in 2025, the Association sustained its advocacy with the support of the media, adding “We spoke with one voice, clear and coherent on policies affecting manufacturers. We thank the government for its listening ear.”

Meshioye acknowledged that without the suspension of the 4% Free-On-Board (FOB) charge by the Nigeria Customs Service, the 15% increase in port charges by the Nigerian Ports Authority, and the discontinued levy by the Financial Reporting Council of Nigeria, manufacturers would have faced even greater burdens.

He also pointed out that global geopolitics in 2025 introduced new dimensions, with tariff wars and rising tensions and in response the Association continued to urge government to prioritise manufacturing and give critical attention to the Nigeria First policy, which he described as a national imperative, and hope for better implementation this year.

Meshioye argues that Manufacturing thrives when Government and industry players work in close collaboration, both in policy formulation and implementation.

 “We urge stakeholders in government not to treat this as an afterthought, but to ensure all relevant players are consulted before decisions are made and decisions made should reflect the imperatives for growth, innovation and competitiveness. Government agencies should be enablers of ease of doing business, not obstacles,” MAN President emphasized.