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Nigeria Pushes for Defence Industry Growth through Local Sourcing and Innovation Funding

Olusola Blessing by Olusola Blessing
April 15, 2025
in Economy, News
0
Nigeria Pushes for Defence Industry Growth through Local Sourcing and Innovation Funding
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Nigeria’s indigenous defence manufacturer, DICON GRAY Insignia (DGI), is advancing plans to scale up its military equipment production, a strategic step aimed at strengthening national security, reducing dependence on foreign imports, and positioning the country as a regional hub for defence manufacturing.

According to a company statement, the expansion will establish three specialized production lines across different locations in Nigeria. DGI says it is currently in advanced discussions with key stakeholders and state governments to select optimal sites based on infrastructure readiness, investment incentives, and ease of doing business. Groundbreaking is expected to begin later this year, with full completion targeted for the end of 2025.

The initiative follows the passage of the Defence Industries Corporation of Nigeria (DICON) Act, signed into law by President Bola Tinubu in 2023. The law empowers local defence firms to produce military-grade equipment, create jobs, and support broader industrial development.

“We are dedicated to developing world-class defence production capabilities in Nigeria,” said DGI’s managing director. “This project will not only enhance national security but also create significant employment and economic growth opportunities.”

By reducing reliance on imported military hardware, the project is expected to ease pressure on Nigeria’s foreign exchange reserves while strengthening the country’s defence autonomy. This aligns with Nigeria’s broader ambition to emerge as a key player in Africa’s security and industrial landscape.

DGI noted that its ongoing engagements with government agencies, security stakeholders, and industrial partners are geared toward ensuring that the expansion delivers lasting value to the nation and host communities. The company emphasized its commitment to forging local partnerships as it moves forward with the project.

With the planned facilities, Nigeria is on track to become a key defence manufacturing centre in Africa, while unlocking a wave of new jobs and technology-driven growth in the security and manufacturing sectors.

 

 

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