Collapse of Ajaokuta Steel Marked Turning Point in Nigeria’s Industrial Decline – Prof Banji
By Erewunmi Peace
The collapse of the Ajaokuta Steel Company has been described as a major turning point in Nigeria’s industrial decline.
Professor Banji Oyeyinka-Oyelaran, a development economist and former senior United Nations official, made this statement while reflecting on Nigeria’s industrial challenges.
According to Prof Banji, the failure to complete and operationalize the Ajaokuta Steel project represents more than the downfall of a single national project.
He explained that it symbolizes deeper structural issues, including policy inconsistency, weak institutional capacity, and lack of long-term industrial planning.
Ajaokuta Steel was originally designed to serve as the backbone of Nigeria’s industrialization.
The steel complex was expected to stimulate growth across multiple sectors, including manufacturing, construction, automobile production, and infrastructure development. However, decades after its establishment, the project remains incomplete, limiting Nigeria’s ability to achieve self-sufficiency in steel production.
Prof Banji noted that the country’s continued reliance on steel imports has weakened its industrial competitiveness and slowed economic diversification. He emphasized that reviving the industrial sector would require strategic planning, strong political will, and sustained investment in key sectors.
The Ajaokuta Steel project has remained a recurring topic in national economic discussions, with stakeholders calling for decisive action to reposition it as a driver of industrial growth.
