By Chesa Chesa
The National Economic Council (NEC) has resolved to encourage the growth of the automotive industry in Nigeria by improving patronage of locally manufactured vehicles.
The Council, which met in Abuja Thursday under the chairmanship of Vice-President Yemi Osinbajo, also got assurances that the current fuel situation in parts of the country would be resolved by next week.
NEC is composed of all 36 State Governors, the Central Bank Governor and the Minister of the Federal Capital Territory alongside some other members of the Federal Executive Council.
Briefing NEC on the benefits of locally manufactured vehicles in the country, were the Minister of Industry, Trade and Investment, Otunba Niyi Adebayo, and Director-General of the , National Automotive Design And Development Council (NADDC), Mr. Jelani Aliyu.
They noted that despite its potentials, the local automotive industry has been significantly plagued by several challenges such as weak demand for locally assembled cars, as well as lack of government patronage which could have assisted the assemblers in achieving economies of scale.
The presentation noted the industry has achieved the following: US $1Billion in Foreign Direct Investments; 63 Licenses issued; Over 30 Active Assemblers; Demand for 400,000 vehicles per Annum.
Despite this, the industry has been significantly plagued by several challenges such as weak demand for locally assembled vehicles due to lack of Government patronage to assist assemblers in achieving economies of scale; and insufficient vehicle credit financing to stimulate private off-take.
Therefore, the Ministry hereby urged the State Governments to support the quest of driving Nigeria’s industrialization agenda and job creation aspiration.
“The NADDC through the Federal Ministry of Industry, Trade and Investment therefore: Seeks the support of the National Economic Council in obtaining the firm commitment of the Executive Governors to procure locally assembled vehicles.
“Use same to address the burden of the public transportation system on citizens for official use by the States and for personal use”, the presentation requested.
A statement issued after the meeting disclosed that NEC welcomed the requests and accepted them as recommendations.
Also, NEC received an update on the Covid-19 vaccination by the Executive Director, National Primary Health Care Development Agency (NPHCDA), Dr. Faisal Shuaib, calling Council to note that by March next month, the country needs to reach 50% of eligible vaccination at least for the first dose. Then, by December this year, the plan is to achieve 70% full vaccination rate.
He added that 5 States including FCT are hitting the mark, the States being Nasarawa, Jigawa, Ogun, Osun and Kwara.
Council resolved that State authorities should prioritize vaccination of citizens against the disease and that since Lagos, and FCT carry the highest-burden, whatever support is necessary should be made available to them.
