By Joseph Emenike Beke
Introduction
Nigeria is not lacking in potential. With over 200 million people, vast natural resources, and an insatiable need for infrastructure, the construction sector should be booming with indigenous innovation and ownership. Yet, when the government wants to build a bridge, a road, a dam, or even a housing estate, the default instinct is to look outside. We chase foreign direct investment (FDI) as though Nigerian engineers, developers, and financiers don’t exist.
Let’s be blunt: the problem isn’t a lack of foreign capital. It’s a lack of local courage.
The Foreign Investment Myth
There’s a dangerous myth circulating in policymaking and boardrooms: that foreign investors are the lifeblood of infrastructure development. This thinking has become so embedded in our system that we undervalue our own professionals, our institutions, and our ability to scale.
Here’s what often happens:
- Foreign firms are awarded billion-naira contracts.
- Local firms are sidelined or subcontracted as mere assistants.
- Funds flow out, while capacity remains undeveloped at home.
We mistake this for progress. It isn’t.
What Is Local Courage?
Local courage means choosing to build capacity at home, even when it’s uncomfortable. It means believing in the Nigerian engineer, trusting the local contractor, and empowering homegrown manufacturers. It means refusing to settle for “foreign is better” just because it’s easier or shinier.
It’s not just about patriotism — it’s about strategy.
The Cost of Outsourcing Development
When we prioritize foreign investors over indigenous firms, the consequences are severe:
- Capital Flight: Most profits made by foreign companies don’t stay in Nigeria.
- Job Loss: The best positions are filled by expatriates, while Nigerians watch from the sidelines.
- Technology Lockdown: Skills are not transferred, because the expertise doesn’t stay.
- Local Industry Stagnation: Without high-level opportunities, Nigerian firms cannot scale or innovate.
We become dependent on others to develop our own country — a dangerous economic model.
We’ve Done It Before — And Can Again
Look at the great infrastructure feats in Nigerian history — the Third Mainland Bridge, the old NEPA installations, early federal buildings — many were done with a heavy dose of Nigerian hands, engineers, and thinkers.
Today, the tools are more advanced, the training more accessible, and the market more open. The only thing missing is trust and support for local execution.
What Needs to Happen
To reverse this trend and build a self-reliant construction industry, we must:
- Prioritize Indigenous Firms in Major Projects
Mandate that large-scale contracts have a minimum 70% local participation — not just labor, but leadership. - Create Access to Financing
Local firms need real financial support — low-interest loans, project insurance, and government-backed guarantees. - Enforce Technology Transfer
Where foreign firms are involved, tech transfer clauses should be non-negotiable. Nigerians must be trained and equipped to replicate and innovate. - Reform Procurement Practices
Corruption, bureaucracy, and elite favoritism often sideline competent local players. We must fix the system to be merit-based. - Shift the Narrative
Let’s start showcasing successful Nigerian-led construction projects. Let the media tell those stories — of competence, excellence, and courage.
The Nigerian Content Development and Monitoring Board (NCDMB) is playing a vital role in supporting local content in Nigeria’s oil and gas industry. The NCDMB has introduced initiatives such as the “Nigeria First” procurement policy, which prioritizes local content participation in the industry. This policy ensures that goods and services readily available in Nigeria are sourced locally unless there’s clear evidence of insufficient local capacity.
Personally I think Nigerians should look inwards rather than outward to leverage the benefits of local content development. By supporting local industries and service providers, Nigerians can create jobs, build technological resilience, and mitigate supply disruptions. The NCDMB’s efforts to deepen local content participation can help reclaim economic independence and promote energy sufficiency.
Nigerians can contribute to this effort by patronizing locally produced goods and services, supporting local entrepreneurs, and advocating for policies that promote local content development. By doing so, Nigerians can build a stronger, more sustainable economy that benefits the nation as a whole.
Conclusion
Nigeria does not need foreign investors to build Nigeria. What we need is visionary leadership, policy boldness, and most of all, local courage. The kind that believes in our people. The kind that empowers our institutions. The kind that doesn’t wait for outside validation.
We must stop handing over our future and start building it ourselves.
Because if Nigerians won’t build Nigeria, who will?
This article is correct: our expats are undervalued. We can only develop by harnessing our own.
This is a glaring issue that demands our attention. The problem extends beyond large public projects, as individual firms also rely on foreign companies for their smaller initiatives. There needs to be a concerted effort to re-educate and reorient our mindset to look inward. After all, local problems often have local solutions.
Your article is very true and educating
The importance of promoting local craftsmanship cannot be overstated.
Thank you for this great article, it was well articulated. I totally agree with you. I think both the indigenous companies and the government have major roles to play so indigenous companies can be begin to thrive and compete with international construction company’s. below are my opinions
For Nigerian Construction Companies:
1. Build Skills & Tech Muscle: Seriously invest in training your people on modern methods and tech like BIM software. Get those international quality and safety certifications (ISO standards). Attract and keep good engineers by offering real career growth.
2. Get Financially Stronger: Tighten up your financial management to build trust. Actively seek diverse funding – don’t just rely on banks. Look into equity partners, infrastructure bonds, or development loans. Run leaner to boost profits for reinvestment.
3. Play Smart: Focus on niches where you shine, like using local materials or affordable housing. Team up with other local firms (form consortia) to bid bigger. Be strategic: partner with international giants on major projects to learn the ropes and build your resume. Leverage your deep local knowledge – regulations, communities, supply chains – that outsiders lack.
4. Deliver, No Excuses: Your reputation is everything. Hit deadlines, stick to budgets, and build quality. Make safety non-negotiable – world-class standards only. Build trust brick by brick.
For the Nigerian Government:
1. Level the Playing Field: Enforce strong local content laws. Mandate meaningful Nigerian participation (ownership, management, jobs) in projects, especially government ones. Give qualified local firms a real price advantage (e.g., 15%) in bidding. Reserve simpler/smaller projects exclusively for them.
2. Unlock Finance: Set up dedicated, low-cost loan schemes for local contractors to buy equipment or cover costs. Provide crucial guarantees (bid bonds, performance bonds) through agencies like NEXIM to help them secure work. Push banks to lend more to construction.
3. Boost Skills & Standards: Fix construction education – make universities and polytechnics teach practical, modern skills. Fund proper vocational training schools. Enforce high national building codes and safety standards rigorously so everyone plays by the same rules.
4. Fix the Business Hassles: Cut the red tape. Streamline permits and land approvals digitally. Fight corruption fiercely in contracts and payments. *Pay your bills to contractors on time, by law*. Keep policies stable and predictable.
5. Invest in the Basics: Improve power, roads, and ports. This cuts costs for everyone but helps local firms most. Support local production of key materials like cement and steel to reduce imports.
The Bottom Line:
Nigerian companies need to step up their game significantly – skills, tech, finance, and ruthless execution. The government must create the right environment: enforce fair policies, provide financial muscle, fix the business climate, and invest in skills and infrastructure. It’s a partnership. Without consistent quality from local firms, government help is wasted. Without strong government action, local firms struggle to compete. Success needs both sides fully committed.
Once again, thank you to the author of this article. Nigeria can be great again when we begin to patronize local contents.
You’re so right sir. Hope it all gets better for Good. We pray for better Nigeria. Amen