The Centre for the Promotion of Private Enterprise (CPPE) has raised concerns over what it described as Nigeria’s widening real sector financing crisis, estimating that manufacturers, farmers, agribusinesses, exporters and micro, small and medium enterprises (MSMEs) face a funding gap of more than N50 trillion.
The private sector advocacy group warned that unless the Federal Government and the Central Bank of Nigeria (CBN) urgently overhaul the country’s development finance framework, the financing deficit would continue to undermine industrialisation, agricultural transformation, job creation and export competitiveness.
In a policy brief released on Sunday, CPPE’s Chief Executive Officer, Dr. Muda Yusuf, said the country’s productive sectors were being constrained by a structural shortage of affordable long-term capital.
“CPPE estimates a conservative current real-sector financing gap of over N50 trillion when account is taken of unmet financing needs across manufacturing, agriculture, agribusiness, MSMEs, supply chains and export-oriented enterprises,” Yusuf said. He explained that the financing challenge extends beyond liquidity shortages.
