The Nigerian Association of Chambers of Commerce, Industry, Mines and Agriculture (NACCIMA) has issued a stark warning that the country's widening skills gap poses a significant threat to its ambition of achieving a $1 trillion economy. During the NACCIMA Technical and Vocational Education and Training (TVET) Summit, stakeholders called for urgent reforms to address the mismatch between available skills and industry demand.
Structural Issues in Nigeria's Labour Market
Nigeria's labour market continues to grapple with structural challenges, including a high prevalence of informal and insecure employment. Many young Nigerians face difficulties transitioning from education to stable employment. Summit participants emphasized that the persistent gap between training programs and labour market needs has hindered productivity and economic development.
Dr. Michael Olawale-Cole's Remarks
Dr. Michael Olawale-Cole, Deputy President of NACCIMA, speaking on behalf of President Jani Ibrahim, characterized the skills gap as a fundamental economic issue. He noted that despite Nigeria's large and growing youth population, there remains a persistent mismatch between available skills and industry requirements. He highlighted that a significant portion of the workforce is employed in informal, insecure jobs characterized by low productivity and limited advancement opportunities, while many young people struggle to find meaningful employment.
Dr. Olawale-Cole stressed that current education and training systems do not adequately meet the needs of the real economy, leaving graduates without essential practical and technical skills. He argued that Technical and Vocational Education and Training (TVET) is one of the most effective ways to combat youth underemployment, improve livelihoods, and boost national productivity, but it must be reoriented for greater impact. He emphasized that the private sector should lead in establishing occupational standards, supporting apprenticeship programs, developing curricula, and investing in skills training, while the government ensures policy consistency and sustainable funding.
He also noted that achieving Nigeria's $1 trillion economy goal depends on a skilled workforce, with industry taking the lead in skill development. Shortages in essential trades like construction have forced employers to seek workers from neighbouring countries, underscoring the need to restore local capacity. NACCIMA is collaborating with stakeholders, including international partners, to close these gaps through coordinated initiatives.
Abdul Rasheed Na'Allah's Perspective
Abdul Rasheed Na'Allah, Chair of the NACCIMA Education Committee, stated that the challenge extends beyond policy formulation to implementation, coordination, and scale. He stressed the need for a more coherent, industry-aligned system. Although frameworks such as the National Skills Qualification Framework (NSQF) and reforms by agencies like the National Board for Technical Education (NBTE) and the Industrial Training Fund (ITF) provide a foundation, they have yet to deliver job-ready skills at scale. Na'Allah called for a shift from fragmented interventions to a demand-driven approach where qualifications reflect competency, training aligns with labour market needs, and graduates possess practical, employable skills. He emphasized that NACCIMA and the Organised Private Sector (OPS) must serve as institutional anchors for employer coordination, including structured input into curriculum design, participation in apprenticeship training, and validation of certification systems. Strengthening collaboration across government, industry, training institutions, and development partners is critical to scaling impact, especially as emerging sectors reshape skills demand.
Adesoji Adesugba's Insights
Adesoji Adesugba described Nigeria's skills challenge as a deeper failure of system alignment. He noted that while education institutions, training systems, and employers exist, they are not effectively connected. This disconnect limits graduates' ability to meet labour market needs, as employers seek practical competencies that are often lacking. The current system remains largely supply-driven, with curricula and training insufficiently shaped by real-time industry demand. Adesugba argued that addressing the gap requires institutionalized employer coordination, with industry playing a central role in defining skills requirements, shaping training systems, and driving implementation. Without this structural alignment, efforts to reform skills development will remain ineffective.
Development Partners' View
Britta Van Erckelens, Programme Manager for Skill Development for Youth Employment (SKYE), speaking on behalf of development partners, stated that effective TVET systems depend on strong collaboration between the OPS and government. Skills development cannot be driven by public institutions alone. She emphasized that the OPS plays a central role in identifying current and future skills needs. Industry participation in training improves productivity, reduces recruitment challenges, and ensures skills align with business demands. Partnerships are essential to building a resilient and competitive economy.
Dr. Tinuke Temitope's Remarks
Dr. Tinuke Temitope, Director of the Business, Entrepreneurship, Skills and Technology Centre at the Abuja Chamber of Commerce and Industry, said the summit was organized to bring private sector stakeholders together with regulatory bodies in technical and vocational education and training to address challenges around curriculum development, certification, industrial activation, and job placement. The focus is on solutions, emphasizing the private sector's role in supporting, advocating, and ensuring effective implementation of skills development initiatives.
Urgency for Action
With Nigeria's population growing rapidly and millions of young people entering the labour market annually, stakeholders warned that failure to act decisively could deepen unemployment and limit economic potential. While the summit produced strong calls for collaboration and reform, the focus now shifts to implementation. Stakeholders acknowledged that previous efforts to align skills development with industry demand have often struggled to move beyond policy discussions.
