The Manufacturers Association of Nigeria has said that 767 manufacturers shut down operations while 335 became distressed in 2023.
This came against the backdrop of exchange rate volatility, rising inflation and other economic challenges that have worsened the investment climate.
MAN stated this in a statement in which it condemned the recently introduced Expatriate Employment Levy by the Federal Government.
The association said it was struck with disbelief, seeing that the levy runs contrary to President Bola Tinubu’s Renewed Hope Agenda and the kernel of his Fiscal Policy and Tax Reform initiative.
According to MAN, the unintended negative consequences on the manufacturing sector are humongous and cannot be accommodated at this time of evident downturn in our economy.
The statement read in part, “The imposition of EEL poses a potential impact on the manufacturing sector and the economy at large.
“This will in turn mark an unwarranted and unprecedented addition to the cost of doing business in Nigeria, especially to manufacturers. The manufacturing sector is already beset with multidimensional challenges. In the year 2023, 335 manufacturing companies became distressed and 767 shut down.” Punch
