The importance of infrastructure to the industrial sector of any economy cannot be overlooked, thus making its development key to the survival of the sector. The purpose of this study is to analyse the effects of infrastructure on the industrial sector of Nigeria. In that vein, ordinary least square method of regression analysis was adopted, using time series data spanning from 1990 to 2015. Industry value-added (% of GDP) was used as an indicator of Nigeria's industrial sector performance, while index of electricity consumption, gross capital formation, and federal government spending on transport and communication were used as indicators for infrastructural development. The results of the regression showed that the index of electricity consumption exerted a positive but insignificant impact on industry value-added; AFRREV VOL. 11 (3), S/NO 47, JULY, 2017 24Copyright © International Association of African Researchers and Reviewers, 2006-2017: www.afrrevjo.net. Indexed African Journals Online: www.ajol.info gross capital formation and federal government spending had a negative but significant impact on industry value-added on industry value-added (on a 5% confidence level). The study recommended that measures to revamp and maintain the power sector of Nigeria must be taken seriously to ensure better supply of power. It was also recommended that corruption be curbed and projects, for which funds are disbursed, be properly monitored so as to ensure that efficient and long-lasting infrastructure will be built and properly maintained to encourage greater industrial output.
This paper examined the performance of the Nigerian manufacturing sector for fifty years (1960-2010) using such performance indices as manufacturing sector real GDP, percentage contribution to the Gross Domestic Product, index of manufacturing production, and percentage average manufacturing capacity utilization within this period. The major finding was that despite many policies and developmental initiatives undertaken by successive civilian and military administrations since independence, the Nigerian manufacturing sector has grossly underperformed in relation to its potential due to several daunting challenges facing the sector. The data analysis revealed the unimpressive state of the manufacturing sector over the years, its low percentage contribution to GDP, as well as the effect of the fluctuating average manufacturing capacity utilization on the growth rate and productivity of the sector. The study recommended that the key to reversing the poor performance of Nigerian manufacturing is an increase in adequate capacity utilization to boost local manufacturing and export.
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