Nigerian industrial policy and incentive from 1999 till date. Economic development 2019-02-14

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From 1960 Till Date: Nigeria’s Economic Development (1)

nigerian industrial policy and incentive from 1999 till date

It was clear that there was a dearth of human capital and skills required for initiating, implementing, and managing industrial projects among Nigerian entrepreneurs. This narrative has been used to paint the economic growth history of Nigeria. None of the major Nigerian political parties controlling national or regional governments from 1951 to 1966 or 1979 to 1983 was a socialist party or a party strongly committed to egalitarianism. H 0ii: There is no long-run relationship between industrial sector development and economic growth. Decline in agricultural production in Nigeria began with the advent of the petroleum boom in the early 1970s. Checking a Decline The textile industry in Nigeria rose to become the largest in Africa after Egypt, with over 250 vibrant factories operating above 50 per cent capacity utilisation. National planning is placed in the context of ecological planning and the use of river basins as development units.

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Nigeria’s Unprecedented Industrial Development

nigerian industrial policy and incentive from 1999 till date

African Imperatives in the New World Trade Order: country Case Study of the Manufacturing Sector in Nigeria, in Ogunkola O, E. For the first time, in 2012, the federal government did not issue any import licence to import cement into the country. The period of this plan witnessed the commissioning of energy projects such as the Kanji Dam and the Ughelli Thermal Plants, which provided a vital infrastructural backbone for the emerging industrial sector. While the ostensible reasons for this policy of favoritism were to transfer resources to modern industry, expand high-priority businesses and sectors, encourage profitable enterprises, and discourage unprofitable ones, in practice the government often favored urban areas by promoting production that used socially expensive inputs of capital, foreign exchange, and high technology. These policy measures have led to a relatively stable exchange rate, a fairly predictable macroeconomic environment, and good prospects for growth. Although the government has developed different policies and programs in the past that are aimed at boosting industrial development in the country, most of these policies though magnificent on paper have failed woefully in the area of implementation while some of them did not see the light of the day, others were abandoned halfway and funds meant for the programs were misappropriated. This would certainly overwhelm the Customs and cause enormous damage to local industries and the countries revenue base.

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Nigeria

nigerian industrial policy and incentive from 1999 till date

However, the more commercial oriented agreements are driven by the Ministry of Commerce. The implication of this dysfunctional consultation process is that decisions are almost solely made on the discretion of the Ambassador and his personnel at the Mission and in some cases, the home officials of the ministry of commerce. In an effort that culminated in the 1970s, the Nigerian government gradually expanded its controls over the private sector, levying differential taxes and subsidies, increasing industrial prices relative to farm prices, favoring investment in key sectors, providing tariff and tax incentives to vital sectors, protecting favored industrial establishments from foreign competition, awarding import licenses to selected firms and industries, and providing foreign exchange to priority enterprises at below-market exchange rates. Petroleum revenue as a percentage of the total went from 26. Nigeria Gross Domestic Product Report. Whereas the plan's guidelines indicated that local governments were to be involved in planning and execution, such involvement was not feasible because local governments lacked the staff and expertise to accept this responsibility. To bridge the gap, the government provides subsidized credit to favoured sectors and firms.

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(PDF) Post Independence Nigeria and Industrialisation Strategies: Four and Half Erratic Decades

nigerian industrial policy and incentive from 1999 till date

Economic Reform Policies and the Labour Market in Nigeria. Was the goal of the noodles policy to have indomie own 75% of the market? If the country for any reason liberalises its tariff rates on those products showing good prospects in terms of local production, then that may be a sure way to kill the emerging local industries. Ikelegbe 2006: 37 observes that the theory assumes that policies areenvironmental input converted by the political systems. In the manufacturing sector, the government was backing a policy of local sourcing whereby locally produced raw materials were converted into finished products. The result is that the rules have evolved since 1947 to include such principles like the enabling clause, exemptions relating to regional agreements and customs unions, special and differential treatments, etc. Provision for domestic debt in 1999 amounted to N349 billion. However, despite laudable growth rates in past years, Nigeria has experienced a worsening in human development indicators including poverty, inequality and unemployment.


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Ten Years of Industrial Policies under Democratic Governance in Nigeria: Wine in Old

nigerian industrial policy and incentive from 1999 till date

In the current trend of globalization of trade and investment, however, Nigeria is facing a crucial turning point of how to improve significantly, the performance of the industry, in terms of production and trade. The boom in the oil sector brought about a distortion of the labor market. An integrated petrochemical industry was also a priority. The state governments' deficit compounded the problem, with the states collectively budgeting for a deficit of N6. There is need, therefore, for inter-ministerial cooperation and coordination between these two ministries.

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Industrial Policy in Nigeria: Opportunities and Challenges in a Resource

nigerian industrial policy and incentive from 1999 till date

We also discovered that in spite of the general perception of made in Aba products as being of inferior quality, these entrepreneurs have markets extending as far as the Central Africa Region. Industrialisation was seen as the only feasible means to get to the Promised Land by breaking the shackles of poverty because of the expected spill over effect in every other aspect of the economy. The contents of this essay are basically my reflections on policies and processes. The results of the study show that males and graduates are more inclined to use e-banking. O Department Of Public Administration, Federal Polytechnic, Oko. We shall explore this further when addressing aid effectiveness. Most importers would simply divert their imports to the ports of these countries and from there devise ways of smuggling the goods into the Nigerian market.

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Rethinking Nigeria’s industrial policy

nigerian industrial policy and incentive from 1999 till date

Firms in the textile industry engage the highest number of employees on average at 79. However, there are few other institutions that need to be set up if the country wants to be a serious player in global trade. While I believe that some infant industries need to be protected from foreign competition, it is not always true. The above is a rather simplistic illustration as other factors can come to play in the given examples- such as the need to achieve optimal allocation of resources and avoiding rent seeking and waste; and promoting consumer welfare. Similarly, creating capacity can be implemented through production incentive packages with a lower focus on protectionist policies. We think more of the large manufacturing plants and hardly seem to reckon with small and medium scale or household production.


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Industrial Sector on Nigeria Economic Growth 1981

nigerian industrial policy and incentive from 1999 till date

The internal security of Nigeria has become a major challenge. Hence we need not wait until we can have a wholly made-in-Nigeria car, we can start by specialising in producing simple components- this is breaking in. Then imagine what would be the outcome where these garment makers are provided with the right machines, improved skills and infrastructure. Although it depends heavily on the oil industry for its budgetary revenues, Nigeria is predominantly still an agricultural society. As always, about 38 Nigerians have been selected out of the over 140 million Nigerians to pilot the affairs of the different Ministries; these chosen few are by no means the repositories of wisdom in any given field of human endeavour. A country may also want to protect some of its products especially natural resources from export by the means of export taxes, quantitative restrictions, or outright ban of exports.

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(PDF) Industrial Policies and Nigeria’s Non

nigerian industrial policy and incentive from 1999 till date

This prompted emergency stabilization measures in 1982. Traditional economic theories show that industrial clusters benefit from external economics of scales. The government pursues the liberalization of its trade regime in a verymeasured manner, which would ensure that the resultant domestic costs of adjustmentdo not outweigh the benefits. It therefore follows that corruption exists when the intention or the result of a policy is tainted, or debased, or spoilt, or destroys purity, or perverts, etc. He said the 1998 fiscal year was a year of mixed economic blessing.

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(PDF) Industrial Policies and Nigeria’s Non

nigerian industrial policy and incentive from 1999 till date

The mandate of these teams includes achieving macroeconomic stability and developing critical sectors such as infrastructure, agriculture, manufacturing, education, health, and housing. Out of 1,200questionnaires distributed, only 984 were returned. Equally important is the need to find a place for the research institutes in the trade policy process. Import duty relief, accelerated depreciation allowances, and easy remission of profits aimed to attract foreign investors. Some would even be slapped with Made-in-Nigeria or Made-as-Nigeria labels and then sold in Nigeria.

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