The Nigerian pharmaceutical industry (“the Industry”) has demonstrated significant resilience in the face of macroeconomic fluctuations. Between 2018 and 2023, the industry experienced a remarkable revenue increase of 79.4%. This growth trajectory has coincided with a notable shift in market dynamics, wherein vaccines have emerged as a dominant segment, increasingly capturing market share that was traditionally held by oncology drugs. Several critical factors underpin this expansion. Firstly, Nigeria’s rapidly growing population necessitates a continually evolving healthcare infrastructure, thereby driving an increasing demand for pharmaceutical products and services. Secondly, a heightened awareness of health issues among the Nigerian populace further fuels this demand. Our analysis indicates that these factors will remain essential growth drivers in the short to medium term.
The Industry is also characterised by intense competition, a robust revenue base, and a substantial asset portfolio. However, it faces considerable challenges, including rising operational costs driven by inflation and diminished consumer purchasing power. In addition, the Industry’s heavy reliance on imported raw materials exacerbates the negative impacts of the ongoing depreciation of the Naira, particularly over the past year.
Overall, we believe that the Industry’s ability to adapt to challenges, coupled with a strong emphasis on innovation, research, and development, will sustain its momentum in the near to medium term.
This report includes;
We believe the information, analyses and opinions contained in this report will prove indispensable to;
