Nigeria Can Capture Global Supply Chains, Says Okonjo-Iweala

The Director-General of the World Trade Organisation, Dr Ngozi Okonjo-Iweala, has urged Nigeria to deliberately position itself to attract global supply chain relocations, saying the opportunity could drive job creation, boost manufacturing, and reduce the country’s dependence on imports.

She made the call during a discussion at Nigeria House on the sidelines of the ongoing World Economic Forum in Davos, where global leaders and investors are exploring new production hubs amid rising geopolitical tensions.

Global Supply Chain Shifts Create Fresh Opportunity

Okonjo-Iweala noted that increasing trade tensions, particularly between the United States and China, have forced multinational firms to rethink their supply chain strategies. Many companies are now diversifying production locations to reduce risk, a trend often described as the “China+1” approach.

According to her, these global disruptions present a rare opening for Nigeria to attract investment, provided the country actively markets itself to international investors.

From Economic Stabilisation to Job Creation

The WTO chief stressed that while Nigeria has begun implementing key economic reforms, the next critical step must focus on job creation. She said economic stabilisation alone is not enough to address the country’s unemployment challenges.

Okonjo-Iweala explained that Nigeria needs to clearly identify sectors where it has competitive advantages and aggressively pursue investors willing to relocate production to the country.

Targeting Manufacturing, Renewables, and Pharmaceuticals

Highlighting specific opportunities, she pointed to renewable energy manufacturing, textiles, and pharmaceuticals as sectors Nigeria can quickly develop.

She argued that Nigeria should manufacture items such as solar panels locally rather than rely on imports, given its renewable energy potential. She also called for renewed investment in textile manufacturing, noting that many popular fabrics worn by Nigerians are now produced outside the country.

In addition, she identified pharmaceuticals as another strategic area where Nigeria could secure a share of global supply chains.

Call for Aggressive Investor Engagement

Okonjo-Iweala emphasised the need for deliberate and sustained engagement with global investors, including direct outreach to countries such as China, the United States, and India.

She said Nigeria must actively showcase itself as an attractive investment destination and compete for a meaningful share of supply chain movements that are currently concentrated within Asia.

Government Signals Commitment to Fiscal Discipline

Also speaking at the World Economic Forum, the Minister of Finance and Coordinating Minister of the Economy, Mr Wale Edun, said Nigeria remains committed to fiscal discipline and reform credibility despite global economic fragmentation.

Edun revealed that the government aims to raise Nigeria’s tax-to-GDP ratio to 18 per cent in the short term, with the goal of channelling additional revenue into social services and infrastructure.

Nigeria’s Moment to Act

With global firms searching for new production bases, economic experts say Nigeria’s ability to seize this opportunity will depend on policy consistency, infrastructure development, and investor confidence.

Okonjo-Iweala’s message from Davos underscores a growing consensus: Nigeria’s window to integrate into global supply chains is open, but decisive action will determine whether the country truly benefits.