General overview of the Nigerian construction industry

Abstract

The purpose of this study is to investigate and provide a general overview of the Nigerian construction industry, its role in the national economy, the main participants in the industry, the problems that they face, and the opportunities that exist within the industry. Over the last decade, several changes have occurred in Nigeria, which have helped all sectors of the economy, especially the building & construction sector. With double digit growth rates in the last 3 years, the construction industry has outgrown all other sectors of the Nigerian economy. However, its contribution to the Nigerian GDP and employment of labor are still very low. Despite its impressive performance, the industry faces a significant number of challenges including the lack of local skilled labor, power shortage, the unavailability of materials, and the unethical practices that are very common in the industry. However, several opportunities exist in the industry especially in the ICT, education, and subcontracting sectors which makes it very attractive for investors.