Onome Amuge
Nigeria faces a looming employment crisis unless it can create at least 27 million new formal jobs within the next five years, the Nigerian Economic Summit Group (NESG) has cautioned.
In its Jobs and Productivity Report, unveiled Monday during the 31st Nigerian Economic Summit (NES#31) in Abuja, the policy think tank warned that failure to act decisively could see unemployment and underemployment rates nearly double to 30 per cent by 2030.
The report described the coming half-decade as “a make-or-break period” for stabilising Nigeria’s labour market and steering the country toward inclusive growth. It urged policymakers to shift from short-term interventions to structural reforms that would boost productivity and foster private sector-led job creation.
“Jobs and productivity are central to Nigeria’s economic development. With the working-age population projected to reach 168 million by 2030, Nigeria must create 27 million new formal jobs or risk worsening labour market instability,” the report noted.
From an analytical perspective, the report sees Nigeria’s jobs crisis not merely as a demographic challenge, but as a productivity failure. Despite consistent GDP growth in some sectors, most economic expansion remains jobless, reflecting weak industrial linkages and low labour absorption.
NESG identified persistent barriers such as inadequate infrastructure, an unstable policy environment, and regulatory bottlenecks that stifle competitiveness and discourage investment. It also cited deep-seated mismatches between the education system and labour market needs.
The report called for a comprehensive employment strategy anchored in productivity gains across manufacturing, agriculture, digital technology, and services. It stressed that without stimulating enterprise growth, particularly in micro, small, and medium enterprises (MSMEs), Nigeria’s economic diversification agenda could falter.
“The productive base of the economy remains shallow,” NESG said, warning that widespread informality and weak industrialisation continue to erode the nation’s job-creating potential.
To reverse the trend, NESG urged the government to implement coherent fiscal, trade, and industrial policies that encourage domestic production, support innovation, and attract long-term investments.
