The 1999 — 2007 National Industrial Policy: Challenges of its Implementation

Abstract

The paper examines the implementation of the 1999- 2007 Nigerian industrial policy with the aim of identifying the factors that militated against its implementation. Industrialization contributes directly to economic growth, effective use of available resources, employment generation and reduction of dependence on imports. It is as a result of this that Nigerian governments, over the years have embarked on series of industrial development programmes derived from various formulated policies. Failure of past industrial policies has inspired this work. The implementation strategies of the 1999-2007 industrial policy were examined. Among its strategies are provision of adequate incentives to local and foreign entrepreneurs for the establishment and sustainability of industries, promotion of capacity building for the industrial sector and maintaining liaison with all government agencies that provide infrastructure facilities. However, it was observed that the indigenization Act incentives that were packaged were not suitable as a result of the stage of economic development in Nigeria. Also, credit facility to individuals and private sector in Nigeria is low and increase sluggishly. Poor electricity generation and supply has contributed to poor performance of industrial sector. Poor growth of small and medium scale industries has contributed to unemployment among youths. It is believed that however novel an industrial policy may be, without adequate solution to the challenges of its implementation, the country may not achieve the objective of industrial development.