The Centre for the Promotion of Private Enterprise (CPPE) has urged the Federal Government to disregard recent recommendations by the World Bank suggesting increased importation of fuel and food.

The World Bank, in its latest Nigerian Development Update (NDU) released last week, advised Nigeria to boost imports of petroleum products and food as a response to supply-side constraints.

However, the CPPE described the recommendation as “deeply troubling” and fundamentally misaligned with Nigeria’s current economic realities and reform trajectory.

In a policy brief issued on Sunday and signed by its Chief Executive Officer, Muda Yusuf, the organisation argued that Nigeria is already making measurable progress in restoring macroeconomic stability. It cited improving foreign reserves, moderating inflation, a more stable exchange rate, and growing capacity for exporting refined petroleum products as key indicators.

According to the CPPE, policy priorities should focus on consolidating these gains rather than undermining them.
“Nigeria is gradually transitioning towards greater self-sufficiency in petroleum product supply, driven by significant private investments in domestic refining capacity,” the statement said.

It warned that encouraging increased fuel imports at this stage could reverse these gains by worsening foreign exchange pressures, weakening domestic refining investments, and exposing the economy to external shocks amid global geopolitical tensions and energy market volatility.

The group stressed that emphasis should instead be placed on expanding domestic production capacity, ensuring reliable crude supply to local refineries on competitive terms, and creating an enabling environment for downstream investments.

“This is the pathway to sustainable energy security, economic resilience, and long-term industrial development—not a return to import dependence,” it stated.
On broader economic strategy, the CPPE called for a strong focus on industrialisation, noting that sustainable growth is driven by production, value addition, and industrial capacity—not imports.

It argued that relying on imports to address supply constraints runs counter to Nigeria’s long-term development goals and risks accelerating de-industrialisation, weakening the real sector, and undermining job creation.
The organisation further highlighted structural challenges facing Nigerian producers, including poor infrastructure, high energy costs, and expensive financing, with lending rates often exceeding 25 to 30 per cent, as well as multiple taxes and regulatory burdens.
“In this context, the notion of competition between imports and domestic production is misleading and inequitable,” the statement said.

It explained that local manufacturers operate in a high-cost environment, while many foreign competitors benefit from stronger infrastructure, lower financing costs, and government-backed support systems.

“This is not a level playing field. It is a contest between structurally constrained local investors and globally competitive firms with systemic advantages,” it added.

The CPPE also raised concerns about the quality of imported petroleum products and the risk of dumping, warning that weak safeguards could expose the domestic market to substandard products, with implications for consumer protection, environmental standards, and local investments.

It cautioned that policies encouraging such distortions could undermine Nigeria’s long-term goals of energy security, industrial self-reliance, and sustainable economic growth.
On food imports, the centre maintained that excessive reliance on external supply is equally detrimental.

“Import surges depress farmgate prices, discourage agricultural investment, erode rural incomes, and weaken food system resilience,” it stated.

The CPPE emphasised that Nigeria’s food security strategy should prioritise boosting domestic agricultural productivity, strengthening value chains, and improving market access, rather than relying on imports.