2025: Manufacturing outlook depends on economic reforms outcome – MAN

The Manufacturers Association of Nigeria (MAN) said that the outlook of the manufacturing sector in 2025 will largely depend on the outcome of the ongoing economic reforms of the federal government.

President of MAN, Francis Meshioye, who stated this at the 9th edition of the MAN Media Personality of the Year Award held in Lagos, also identified the efficient adoption of Artificial Intelligence (AI) as a potential game changer for the sector.

Meshioye said manufacturers are hoping for a more stable economy in 2025 depending mostly on the success of the economic reforms of the government, while expressing hope in the effective management of the Electronic Foreign Exchange Matching System (EFEMS) to stabilise the Naira .

He stated: “Looking ahead to 2025, Nigeria’s overall economic growth is projected to be around 4%, a modest recovery compared to previous years, though still lower than the average growth rate for sub-Saharan Africa.

“We should expect that interest rate will begin to ease, as its continued hike by the Central Bank of Nigeria (CBN) has failed to curb inflation and has instead stifled investment and business expansion. Only a favorable interest rate environment would help manufacturers access the necessary financing to reinvest in their operations and drive productivity.

“Nevertheless, the outlook for the manufacturing sector in 2025 largely depends on the success of ongoing economic reforms, which include: the implementation of the proposed tax reforms, stabilisation of critical macroeconomic indicators, and targeted investments in infrastructure and technology.

“Considering the series of ongoing fiscal and monetary reforms of the present administration, the contraction of the economy is expected to ease and experience some growth this year with stability in the exchange rate regime in 2025.

The MAN president emphasised the need for the efficient deployment of AI in the manufacturing sector in the new year and beyond.His words: “The efficient adoption of Artificial Intelligence (AI) will be a game changer for the manufacturing sector in 2025 and the nearest future. This is expected to help in engendering enhanced production and productivity, improved capacity utilisation, innovative product development, improved inventory system, efficient logistics operations etc.

“It is projected that technology adoption through research and development will fast-track the emergence of the much-awaited transformational growth of the real sector of the economy.

“And as manufacturers, we are gearing up and ready to embark on this interesting journey on the path of growth.

“For the sector to regain its momentum, efforts to improve productivity and enhance competitiveness must be sustained as this is crucial in helping Nigerian manufacturers navigate the challenges they face.”

2025: Manufacturing outlook depends on economic reforms outcome – MAN - Vanguard News