Vice-President Kashim Shettima has called on automotive manufacturers in Nigeria to significantly expand their production capacity for Compressed Natural Gas (CNG) and electric vehicles to meet the country’s accelerating demand for cleaner, affordable mobility.
Shettima, represented by the Minister of Innovation, Science and Technology, Dr. Kingsley Udeh, made the appeal on Tuesday in Abuja while declaring open the 25th Abuja International Motor Fair.
He described the automotive sector as a critical pillar of the Federal Government’s agenda and its broader industrialisation strategy.
Gas, Green and Growth
Highlighting the administration’s policy direction, Shettima said the government was steering the industry on the pillars of “Gas, Green and Growth,” noting that Nigeria’s vast natural gas reserves offered a cost-effective pathway for mass transit transformation.
He disclosed that the government had already provided N20 billion through Credit Corp to support the acquisition of locally assembled vehicles.
“We acknowledge the need for innovative, bespoke financing packages with single-digit interest rates, specifically for Made-in-Nigeria vehicles,” he said.
“When a teacher, a nurse, or an entrepreneur can afford a quality, locally-assembled car, we do more than make a sale—we fuel a virtuous cycle of demand, production, job creation, and national economic stability.”
Financial structure that supports auto market
Shettima urged commercial banks and financial institutions to design financing structures that support the domestic auto market, adding that “finance is the grease for the wheels of industry.”
He reaffirmed President Bola Tinubu’s commitment to positioning Nigeria as the regional hub for CNG and electric mobility in West Africa, and encouraged stakeholders to prioritise local content under the Nigeria First Policy. He also commended the organisers for sustaining the motor fair for 25 years.
Commitment to automotive growth
Minister of State for Industry, Senator John Enoh, also restated the Federal Government’s resolve to strengthen Nigeria’s automotive industry through predictable policies and strategic incentives. He said the sector remained central to Nigeria’s push for industrialisation and economic diversification.
Enoh praised local assemblers and component manufacturers for demonstrating that Made-in-Nigeria vehicles could compete strongly in quality and durability. He said the Abuja fair showcased the progress recorded under the National Automotive Industry Development Plan (NAIDP).
He noted that the government was committed to eliminating administrative bottlenecks, deepening foreign investment, and promoting a shift to green mobility through CNG-powered and electric vehicles.
Similarly, the Director-General of the National Automotive Design and Development Council (NADDC), Joseph Osanipin, said efforts were underway to revive and reposition the automotive sector through sustained implementation of the NAIDP.
Osanipin disclosed that Nigeria currently has about 30 active and serious assemblers with nearly $1 billion in cumulative investments, adding that the country’s population size, growing market, and supportive policies offered strong prospects for sectoral growth.
What you should know
Earlier in the year, the Federal Government, through the Ministry of Innovation, Science and Technology, launched a sustainable energy Electric Vehicle (EV) Charging Station in Abuja.
This initiative was carried out in partnership with the Electric Motor Vehicle Company (EMVC).
Former minister Uche Nnaji, at the time, described the project as a significant step towards advancing Nigeria’s transition to sustainable energy solutions.
