The Founder and Chief Consultant of B. Adedipe Associates Limited, Dr Biodun Adedipe, has emphasised the critical need for disciplined fiscal operations and a structured strategy to reduce Nigeria’s informal sector as essential pillars for achieving sustainable economic growth.
He made the assertion on Wednesday at the Lagos Chamber of Commerce and Industry’s (LCCI) 2025 Mid-Year Economic Outlook Review held in Lagos.
Adedipe underscored the importance of conducting a comprehensive review of government expenditure and tightening fiscal operations to ensure efficient resource allocation.
He warned that without discipline in public spending, efforts at macroeconomic stability and inclusive growth would remain undermined.
According to him, Nigeria must embrace expenditure management and set measurable targets to gradually reduce the informal sector’s contribution to GDP over the next three decades, drawing from the experience of high-performing East Asian economies.
He also advocated for the strategic use of the country’s over 22,000 registered cooperatives as conduits for delivering social and economic interventions, particularly cash transfers. This, he noted, would ensure more effective targeting, deepen financial inclusion, and stimulate grassroots productivity.
Addressing Nigeria’s development challenges, Adedipe called for a deliberate national agenda aimed at eradicating extreme poverty within the next 12 to 15 years.
He proposed a shift from necessity-based to opportunity-driven entrepreneurship, emphasising the role of education, skills development, and job creation in lifting millions of Nigerians out of poverty.
On the business and investment front, Dr. Adedipe painted an optimistic outlook for Nigeria’s non-oil export sector in 2025 and beyond.
He noted that with the attainment of $5.46bn in non-oil exports in 2024, the sector is on a growth trajectory supported by macroeconomic stability, ongoing policy reforms, and strengthened institutional frameworks.
He highlighted efforts by financial institutions and regulatory agencies to build capacity across the non-oil export value chain as a key enabler of future growth.
Citing international projections, Adedipe noted that African trade is expected to grow at an annual rate of 5.1 per cent in 2025, rising to 5.4 percent by 2028, and outpacing GDP growth, as forecast by the International Monetary Fund and Afreximbank.
He urged Nigerian businesses and policymakers to leverage this momentum to scale the country’s presence in regional and global markets.
In outlining areas of business opportunity, Adedipe identified agriculture, real estate, e-commerce, fintech, education, fashion, hospitality, and waste management as sectors with immense potential.
He highlighted agriculture’s contribution to GDP and employment, noting that value addition through processing and packaging could significantly boost export volumes. He also drew attention to Nigeria’s growing real estate market, which reached ₦16.23tn in 2024, and the booming e-commerce sector projected to hit ₦9.4tn in 2025.
Other sectors flagged for growth include digital payments and fintech, with Nigeria’s digital transactions totaling ₦387.1tn in 2023; as well as education and e-learning, valued at $4.85bn as of 2022.
Adedipe also pointed to the expanding fashion, beauty, hospitality, and tourism industries as vibrant contributors to job creation and youth entrepreneurship. Waste management and recycling, he said, represent a ₦40tn opportunity yet to be fully harnessed.
He concluded by urging the government to create an enabling environment through consistent policies, regulatory clarity, and infrastructure development to unlock these opportunities.
According to Adedipe, Nigeria’s economic transformation will require a multi-pronged approach rooted in fiscal prudence, institutional reform, and strategic investment in sectors that drive inclusive and sustainable development.
The President of LCCI, Mr. Gabriel Idahosa, earlier in his opening remarks said the private sector, particularly small and medium-scale enterprises, continues to navigate a challenging operating environment marked by high energy costs, regulatory uncertainty, limited credit access, and infrastructure deficiencies.
He noted that the businesses across sectors, including manufacturing, agro-processing, trade, and logistics, face significant obstacles in their quest for profitability and scale.
Idahosa said the power supply remains erratic, fuel prices are volatile, and security challenges persist, especially for agribusinesses and transport operators.
“A significant development in 2025 has been the passage and implementation of the New Nigeria Tax Act, aimed at improving non-oil revenue, broadening the tax base, and enhancing compliance through digital platforms.
“We must also recognize areas of resilience and innovation. The technology ecosystem continues to evolve, with fintechs, e-commerce, and digital platforms providing new models for job creation and service delivery.
“The creative industries and segments of the agricultural value chain have demonstrated strong adaptability and export potential. However, for this resilience to translate into sustained growth, there must be a deliberate strategy to de-risk the environment and create incentives for long-term investments,” he said.
“As stakeholders in economic development, we call for deeper collaboration between the public and private sectors. There is a need to strengthen investor confidence through predictable policy environments, legal clarity, and responsive governance.
“Regulatory agencies must avoid abrupt decisions that increase the cost and complexity of doing business. The government must also prioritize infrastructure financing, ease of tax compliance, digitization of public services, and institutional reforms that enhance transparency and reduce the cost of governance. As a Chamber, we remain available to support the policy development process with data, feedback, and engagement,” he noted further.
He added: “As we enter the second half of 2025, we must approach the remainder of the year with renewed resolve, strategic focus, and collaborative spirit. Transforming Nigeria’s economy is a shared responsibility; government, businesses, civil society, and development partners must align their efforts toward common goals.
“We must move from policy rhetoric to implementation, from isolated efforts to integrated strategies, and from short-term fixes to long-term planning. The LCCI will continue to advocate for reforms that improve competitiveness, protect investments, and create jobs. We remain committed to building a strong, sustainable, and inclusive economy where businesses thrive and citizens prosper”.