An expert in building and construction projects, Mr. Demola Akonji, said that the neglect of building materials by government has helped to increase the shortage of accommodation among the citizens. He said that a lot of people could not afford accommodation or home of their own because the cost of procuring the materials has become frightening.
“The moment building materials are manufactured in the country, the right time to start talking about reducing accommodation shortage in the country. The real estate sector is not adding to the GDP because the proceeds from the sector is not harnessed properly,” he said.
Another respondent, Mr. Pere Ambrose, a real estate agent argued that every year professionals bring foreign manufacturing companies to Nigeria for exhibitions. He believes that the exhibition provides opportunities for government to convince the companies to establish their companies in the country.
“Government authorities are lagging far behind in their responsibilities in this direction. If these building materials are manufactured in the country, can you imagine the cut the country will make in terms of cost. But it seems the agencies of government are not looking in that direction and that is the greatest undoing to the economy of the country, “he noted.
Recently, the federal government set a robust ambition of raising Nigeria’s manufacturing output to 20 per cent of Gross Domestic Product, GDP within six years. Under the arrangement government plans to set up production hubs across the country in partnership with regional aid banks.
Nigeria’s manufacturing base, currently contributes less than 10 per cent to its total gross domestic product (GDP), and has maintained a strong currency to ensure it can keep imports pouring in, with a growing proportion coming from China.
Government is targeting to actualise this feat via the “Project MINE” Made in Nigeria for Export, under which it expects to generate over $30 billion annually by 2025,” the ministry of industry, trade and investment said in a statement.
The government has set up Nigeria SEZ Investment Company, which will finance industrial parks in special economic zones in the commercial capital of Lagos, southeastern state of Abia and northern state of Katsina.
The government is currently raising capital of $250 million for Nigeria SEZ Investment Company, with plans to double its equity to $500 million over four years, the ministry said.