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2020 Construction Industry Report

Overview

The value of the Nigerian construction industry’s (Industry) stood at ₦2.65 trillion in real terms as at 2019[1], contributing 3.7% to the economy, underpinned by the country’s huge population, rapid urbanisation in key cities such as Lagos, a housing deficit estimated at 22 million units and the country’s severe infrastructure gap. While these fundamental drivers will see to the growth of the Industry over the medium to long term, the construction industry is currently facing substantial challenges, hence making the short-term outlook highly unfavourable.

The COVID-19 pandemic has led to a severe contraction in economic activities in Nigeria, and the economy is expected to suffer an acute recession in 2020. The highly weakened macroeconomic environment portends a challenging year for the construction industry in Nigeria, with pressures emanating from several sectors, thus reducing the flow of projects in the pipeline for Industry operators, squeezing the financial health of operators, ultimately resulting in a sharp contraction in Industry growth, in line with the trend in the overall economy.

Agusto & Co.’s Construction Industry Report includes:

  • Industry overview and impact of the macroeconomic environment on construction activities.
  • Industry competitive landscape and market positioning strategies of some key players in the construction space.
  • Overview of the regulatory structure.
  • Detailed analysis of the financial condition of key players based on figures and information published in the audited financial statements.

 

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  • In-depth review of Industry’s size, structure and key features
  • Detailed analysis of the Industry segmentation
  • Examines prevalent challenges within the Industry
  • Outlines critical factors pertinent to the success for an operator in the Construction industry
  • The report also reviewed the strength, weaknesses, opportunities and threats of the construction industry in Nigeria
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