As oil dependence continues to impact the Nigerian economy negatively, the Lagos Chamber of Commerce and Industry (LCCI) says the country needs inclusive, integrated and sustained real sector growth.
Speaking at the opening session of Lagos International Trade Fair weekend, Nike Akande, president, LCCI, said it was imperative at this time to focus on the non-oil sector for economic diversification.
“The non-oil economy is generally more inclusive and integrated. It is also more growth-oriented, and characterized by high economic linkages, more stable and above all more sustainable. It is important for us to appreciate these fundamental dynamics of the Nigerian economy in order to be able to construct polices that would ensure sustainable economic development,” Akande said.
Nigeria is reeling under the yoke of oil sector woes, caused by global price lows. Crude oil and liquid minerals account for 70 percent of revenue and 90 percent of foreign exchange.
Manufacturing, agro-processing and solid minerals sectors were relegated to the background as the country lived completely on oil proceeds for decades.
The real sector is hampered by poor infrastructure, resulting from lack of consistent power, and bad roads which make market access difficult.
The country depends hugely on imported products and sees products of local industries as inferior.
“The pressing and overriding challenge in our quest for economic diversification is to fix the impediments to productivity and competitiveness in the economy. If we tackle these constraints we would encourage domestic investment, attract foreign capital and facilitate the realization of the enormous potentials in the Nigerian economy,” Akande said.
She said recent developments in the global economy had further underlined the imperative of economic diversification, stressing that it was heart-warming to note that evidence of innovation, ingenuity, resilience and doggedness of Nigerian entrepreneurs abounded at this trade fair even in the face of economic recession, they are determined to succeed.
This year’s 2016 Lagos International Trade Fair is themed, ‘Positioning the Nigerian Economy for Diversification and Sustainable Growth.’
Sola Oyetayo, chairman of the trade promotion board of LCCI, said 185 local companies and firms from six countries participated on the opening day.
Oyetayo said there would be more local and foreign companies participating, adding that many state governments had indicated interest to participate.
Muda Yusuf, DG, LCCI, said this was the 30th trade fair held by the chamber, adding that it was only value that drove participation.
Yusuf said there was a need for governments at all levels to improve the business environment for businesses to thrive.
