A report by the Africa Development Bank, ADB has projected that Nigeria requires $3trillion in infrastructure investment over the next three decades and around $165 billion in the medium term to establish a world class infrastructure network capable of sustaining economic growth and development.
Commenting on the AfDB report which was titled: “Infrastructure Action Plan for Nigeria: Closing the Infrastructure Gap and Accelerating Economic Translation”, Chief Economist, Development Bank of Nigeria, Prof.
Joseph Nnanna (Jnr) said, “Investment in critical infrastructure is imperative for achieving growth and development in the country, a priority underscored by the government through increased budgetary allocation for capital expenditure in recent years.
He spoke while delivering a keynote address at the 2023 Chartered Institute of Bankers of Nigeria, CIBN Fellowship Investiture themed: “Harnessing Nigeria’s Economic Potentials for Growth and Development: Strategic Imperatives” held in Lagos.
Nnanna said any government action that hinders infrastructure growth and development have far reaching implications both at the micro and macro levels, adding that development in Nigeria has been impeded by mismanagement of public funds along with lack of transparency and accountability, among other factors.
He said: “Infrastructure contributions to economic development especially in terms of industrialization is monumental as it creates an enabling environment for productive activities, fostered investment, facilitates the movement of goods and people, enhances information dissemination and it is in diversifying and commercialising the economy on a broad scale. “Infrastructural investments are a pivotal catalyst for achieving rapid and sustained economic growth in societies like inadequate infrastructure primary sectors experience significant setbacks hindering the foundation for the expansion of local manufacturing industries.
“In contemporary times, the realization of economic growth and development hinges upon the promotion of industrialization which in turn relies heavily on the availability of functional infrastructure.
“To foster economic growth and development in Nigeria, the government must actively support industrialization by ensuring the provision of essential infrastructure components: such as uninterrupted electricity, a robust road network, access to water; year round irrigation and reliable communication network.”
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