Nigeria’s Factories Go Local to Survive Currency Turmoil

Source:Punch Newspapers (MobilePunch)
August 18, 2025
Nigeria
business
regular
neutral
currency turmoil
local sourcing
manufacturing
economy

Amid ongoing currency turmoil and foreign exchange challenges, Nigerian factories are increasingly turning to local sourcing of raw materials to sustain operations. The shift is driven by the fluctuating value of the naira and difficulties in accessing foreign currency for imports. Industry leaders report that while this move reduces costs, it also poses challenges in maintaining quality and meeting production targets due to limited local supply chains. Specific sectors affected include manufacturing and agriculture, with companies adapting by investing in local partnerships. Economists warn that without government support, the transition may not fully address deeper structural issues in the economy.

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