The Director, Nanyang Technology University for African Studies, Amit Jain, disclosed that the epileptic power supply has contributed 40 per cent to the cost of manufactured products in the country.
According to Daily Post, Jain revealed this while presenting the 150-page report titled, ‘Back to Growth: Priority Agenda for the Economic Revival of Nigeria’ in Lagos, recently, stating that inadequate power supply was a significant impediment to businesses in Nigeria.
The report showed that the manufacturing sector has much higher productivity than agriculture and can absorb a larger proportion of the workforce.
For manufacturing to be competitive, the report explained that economic activity should, at least to begin with, stay within the country’s comparative advantage.
The report also identified that electricity blackouts, transport bottlenecks, crime, and corruption are among the key hindrances to firms’ growth in the country.
“Lack of electricity adds 40 per cent to the cost of everything in Nigeria. That hurts manufacturing the most. Firms suffer from an acute shortage of power supplies”, it stated.
