Manufacturers See Gradual Recovery As Confidence Index Rises In Q3 — MAN
By OBIOMA TORI
THE Manufacturers Association of Nigeria (MAN) has reported a modest improvement in the performance and outlook of the country’s manufacturing sector, as the Manufacturers CEO’s Confidence Index (MCCI) for the third quarter (Q3) of 2025 rose slightly from 50.3 points in Q2 to 50.7 points in Q3.
According to MAN, the 0.4-point increase, though marginal, marks the second consecutive quarterly rise in the index, signaling a slow but steady improvement in manufacturers’ confidence amid ongoing economic reforms and policy adjustments.
Speaking at the unveiling of the Q3 2025 MCCI Report and the 2025 MAN Think Tank Session in Lagos, Dr. Segun Osidipe, Chairman of the MAN Economic Policy Committee, said the result reflects “a cautiously improving sentiment among manufacturers.”
“The increase may appear modest, but it is significant because it represents a continuation of the recovery trend observed in recent quarters,” Osidipe said.
“It demonstrates that the disinflation trend and a more stable exchange rate are beginning to ease input cost pressures for manufacturers.”
The report shows that both the current business condition and current employment condition recorded slight gains of 0.6 and 0.3 points, respectively, reflecting improved operational stability and cautious optimism within the industry.
However, Osidipe noted that the current production condition declined marginally by 0.3 points, mainly due to industrial disputes in the oil and gas sector, which disrupted gas supply, increased energy costs, and hampered factory output.
He emphasized that while the sector has shown some positive signs, most key indicators remain below the 50-point threshold, meaning overall confidence is still fragile. Persistent macroeconomic headwinds such as high inflation, volatile exchange rates, and elevated interest costs continue to weigh on manufacturing activities.
Osidipe also highlighted insights from the 2025 MAN Think Tank Session, which gathered policymakers, industry experts, and private-sector leaders to discuss strategies for strengthening industrial resilience.
“The Think Tank Session provided a strategic, evidence-based assessment of Nigeria’s manufacturing landscape and policy environment,” he said.
“It underscored the need for coordinated fiscal and industrial policies to enhance productivity, competitiveness, and export diversification.”
The MCCI, MAN explained, serves as a quarterly barometer for assessing CEOs’ perceptions of business performance and the overall health of the manufacturing sector. It measures how government policies, market dynamics, and macroeconomic fundamentals influence industrial activity and confidence levels.
Despite the ongoing challenges, MAN expressed optimism that continued policy stability, energy reforms, and targeted industrial incentives could help sustain the sector’s gradual recovery through the final quarter of 2025 and beyond.
