The Nigerian Economic Summit Group (NESG) has called for a fundamental shift in Nigeria’s economic policy from growth that produces limited employment to a job-rich economy capable of absorbing millions of young people entering the labor market annually.
The call comes ahead of the 32nd Nigerian Economic Summit (NES #32), scheduled for October 26 and 27, 2026, at the Transcorp Hilton Hotel, Abuja, with the theme, “Growth that Works: Delivering Jobs, Productivity, and Shared Prosperity.”
According to the NESG, employment generation will take center stage under the summit’s first sub-theme, “Work Nigeria,” as stakeholders seek actionable strategies to tackle the country’s persistent unemployment and underemployment crisis.
The group noted that while Nigeria’s economy has recorded growth over the years, the expansion of gross domestic product (GDP) has not translated sufficiently into dignified and sustainable employment for millions of Nigerians.
It said the challenge was particularly urgent given Nigeria’s population of more than 220 million people, with nearly 70 per cent below the age of 35.
“The difference between these two outcomes lies almost entirely in whether the economy can generate enough quality jobs to absorb the estimated three million young people who enter the labor market every year,” the NESG said.
Growth without enough jobs
The NESG described Nigeria’s labor market crisis as structural rather than cyclical, arguing that positive GDP growth over much of the past two decades had failed to adequately address unemployment and underemployment.
It said sectors that have traditionally driven headline economic growth, including oil and gas, finance, and telecommunications, were not sufficiently labor-intensive to reduce unemployment on the scale required.
The group therefore called for a deliberate economic pivot towards sectors with greater capacity to employ large numbers of Nigerians, including manufacturing, agro-processing, construction, creative industries, and the broader micro, small, and medium enterprises (MSME) ecosystem.
The NESG identified MSMEs as critical to Nigeria’s employment challenge, noting that they account for approximately 96 per cent of businesses in the country and nearly 84 per cent of total employment, according to data from the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN).
However, it said the sector continues to operate below its potential because of limited access to finance; high regulatory costs; inadequate infrastructure, particularly electricity, logistics, and connectivity; as well as the difficulties associated with transitioning businesses from informal to formal operations.
At NES #32, participants are expected to examine practical strategies for strengthening MSME competitiveness while creating easier and more affordable pathways to formalization.
The NESG argued that MSME formalization should be viewed not merely as an administrative process but as an employment policy because formal businesses are better positioned to employ workers, access credit, and provide social protection.
The summit will also focus on the mismatch between the skills produced by Nigeria’s education system and those demanded by employers.
According to the NESG, many young Nigerians enter the labor market with academic qualifications but lack the technical, digital, and soft skills required by modern employers, while businesses continue to struggle to find workers with practical competencies.
Under the Work Nigeria agenda, the summit will therefore prioritise demand-driven skills development, with emphasis on stronger partnerships between industry and educational institutions, expanded vocational and technical education, and digital literacy programmes.
The NESG stressed that skills development must be directly connected to the needs of high-growth sectors rather than becoming “training for training’s sake.”
Better jobs and stronger labour systems
Beyond creating more jobs, the summit will examine how to improve Nigeria’s labour market systems, including how workers access employment, resolve disputes and have their skills recognised across sectors.
Participants are also expected to discuss formal apprenticeship systems, stronger labour market information systems and expanded social insurance coverage, particularly for vulnerable workers and women in informal employment.
The NESG said the objective should be to create “better jobs” characterised by fair wages, dignified working conditions and opportunities for career advancement.
It maintained that sustainable employment was fundamental to social stability and that inclusive economic growth must make labour absorption a primary outcome of economic policy.
Stakeholders urged to act
The NESG said the Work Nigeria agenda would require coordinated action by government, the private sector, development partners and educational institutions.
It urged the government to reform labour regulations and invest in infrastructure that enables businesses to expand, while calling on the private sector to hire and train workers at scale.
Development partners, it said, should align financing with Nigeria’s employment priorities, while educational institutions must continuously adapt their programmes to the needs of the economy.
The 32nd Nigerian Economic Summit is expected to bring together business leaders, policymakers, economists, development stakeholders and civil society representatives to deliberate on strategies for ensuring that economic growth translates into improved livelihoods and meaningful employment.
The NESG, Nigeria’s foremost private sector-led policy advocacy and think-tank organisation, has for more than three decades provided a platform for public-private dialogue on policies and strategies aimed at advancing the country’s economic development.