Reps seeks N350m to revive moribund industries, support SMEs

The Nigerian House of Representatives has called on the Federal Government to allocate N350 million in the 2026 budget to revive moribund industries and support small and medium-sized enterprises (SMEs) across Nigeria.

The resolution followed the adoption of a motion moved by Hon. Akarachi Amadi, who represents the Mbaitoli/Ikeduru Federal Constituency of Imo State.

Amadi stated that several formerly thriving industries across the country have collapsed or become inactive due to poor power supply, high interest rates, and weak infrastructure, leading to job losses and economic decline.

He cited data from the National Bureau of Statistics (NBS), saying Nigeria’s unemployment rate has risen from 25 percent in 2022 to over 40 percent in 2025, largely due to the closure of key manufacturing industries.

“The moribund state of local industries has led to an increase in the importation of goods previously produced in Nigeria, causing capital flight, worsening exchange rates, and fueling inflation, especially in sectors where we were once self-reliant,” Amadi said.

He further noted that the collapse of local industries has also contributed to rising insecurity, kidnapping, and other social vices, as many unemployed youths turn to crime out of frustration.

The lawmaker mentioned that several industries across the six geopolitical zones remain inactive, including the Katsina Steel Rolling Mill in Katsina State, the National Paper Manufacturing Company in Ogun State, and the Standard Shoe Industry Limited in Imo State. Others include the Taraba Tomato Processing Company, the Idah Glass Company in Kogi State, and the Cross River Wood Processing Plant.

Amadi warned that some Nigerian manufacturers are already relocating to neighbouring countries such as Ghana due to Nigeria’s poor infrastructure and high operating costs.

He emphasised that reviving industries like the Osogbo Steel Rolling Mill, Osogbo Machine Tools, and Ceramic Industry, Umuahia would strengthen Nigeria’s economy, reduce reliance on imports, and create more jobs.

Following the motion’s adoption, the House called on the Federal Ministry of Industry, Trade, and Investment to include the N350 million allocation in the 2026 budget to initiate the revival of these industries.