The Centre for the Promotion of Private Enterprise (CPPE) has warned that Nigeria’s economy cannot sustain growth on import‑driven interventions and has urged the government to deepen fiscal reforms while aggressively supporting local production. The Centre argues that no economy can thrive on perpetual imports without building strong domestic industries, especially in energy and agriculture.
Muda Yusuf, CPPE’s Chief Executive Officer, described as “deeply troubling” a recent World Bank recommendation for Nigeria to allow more imports of petroleum products and food to ease supply constraints. He said such import‑push policies risk exposing Nigeria to external shocks amid global geopolitical tensions and volatile energy markets, and could undermine recent gains in macroeconomic stability, including improved foreign reserves, moderating inflation, and a more stable exchange rate.
Yusuf stressed that the priority should be to expand and stabilise domestic production capacity, ensure reliable crude supply to local refineries, and create an enabling environment for downstream investments. He warned that encouraging more petrol imports could reverse progress toward self‑sufficiency, intensify pressure on foreign exchange, and discourage private investment in local refining, including the newly operational Dangote Refinery.
He also criticised the assumption that increased imports would automatically improve competition, noting that local producers operate under high energy costs, weak logistics, expensive financing, and heavy regulatory burdens, while foreign players enjoy better infrastructure and state‑backed advantages. These imbalances, he said, create an uneven playing field that weakens domestic capacity and deepens import dependence.
The CPPE chief also opposed large‑scale food imports, warning that they could depress local farmgate prices, discourage agricultural investment, and weaken rural livelihoods. He argued that heavy reliance on imports risks worsening macroeconomic conditions by increasing demand for foreign exchange, putting pressure on the naira, and eroding external reserves.
Yusuf pointed out that even advanced economies are now prioritising domestic production, supply‑chain resilience, and local content, and urged the World Bank to recalibrate its advice toward industrialisation‑driven reforms that support manufacturing, local refining, and agricultural productivity. “Import liberalisation is not a sustainable solution,” he said. “What Nigeria needs is a production‑driven growth model anchored on strong domestic capacity, energy security, and industrial development.”