Nigeria Democratic Congress (NDC) presidential candidate Peter Obi has called for stronger collaboration between government and private sector stakeholders to unlock the potential of Nigeria’s manufacturing industry.

He stressed that the country must transition from a consumption-oriented economy to a productive powerhouse.

Obi made the call following his attendance at the inauguration ceremony of the newly installed President of the Manufacturers Association of Nigeria (MAN), Dr. Eric Okoye, in Lagos, where he interacted with current and former leadership of the association.

According to him, targeted policies and a more favourable business environment are vital to increasing the manufacturing sector’s contribution to the nation’s gross domestic product (GDP).

“With the right government policies, an enabling business environment, and stronger collaboration between the public and private sectors, Nigeria can significantly increase the contribution of manufacturing to our GDP,” Obi stated.

Highlighting current economic figures, Obi noted that manufacturing accounts for approximately 7.5 per cent of Nigeria’s GDP, a figure he argued lags behind several other developing and emerging economies.

“Manufacturing currently contributes about 7.5 per cent of Nigeria’s GDP, compared with about 14 per cent in Egypt, 15 per cent in Morocco, 25 per cent in Vietnam, 19 per cent in Indonesia, and 20 per cent in Bangladesh,” he observed.

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The African Union on Wednesday launched the continent’s first credit rating agency—Africa Credit Rating Agency (AfCRA).

AfCRA, launched in Port Louis, the capital of Mauritius, where it will be based. is seeking to provide an alternative ‌to the “big three” global ratings agencies as debt burdens weigh on many African economies.

“AfCRA complements existing global credit rating agencies by offering a perspective rooted in African data, expertise and realities,” the AU said in a statement.

African leaders have long accused Western ​ratings agencies including S&P, Moody’s and Fitch of failing to fairly assess the risk of lending to African ⁠countries and of moving too quickly to downgrade them during crises such as conflicts and pandemics.

The agencies reject that criticism, saying they ​apply the same methodologies globally.

Rating experts said the success of the initiative will hinge on the perceived credibility of the new agency, especially in times of crisis.

“A new rating agency begins with a promise while investors ultimately require a track record,” said Dennis Shen, a lecturer in finance at the International School of Management in Berlin and former sovereign analyst at Scope Ratings.

“The hardest test, however, will come when markets are under stress, because a rating agency’s credibility is tested most severely when its conclusions are uncomfortable ‌rather than ⁠when it is highly convenient.”

AfCRA may provide a counterweight to established rating agencies, but it must meet global standards, former Nigerian Vice President Yemi Osinbajo said.”It can’t just be a chauvinistic or nationalistic agency,” he said.

AfCRA, which will rate sovereign borrowers, financial institutions and private companies, will operate independently and be funded through shareholder capital and its operations, the AU said.