Engineers have cautioned that Nigeria could face a worsening crisis if the country fails to close its infrastructure gap through well-structured Public-Private Partnership (PPP) investments. They explained that without urgent action, the economy, education, and social development would continue to suffer, while investor confidence may keep declining.
Speaking in an interview with The source, the Treasurer of the Nigerian Society of Engineers (Victoria Island Branch), Babatunji Adegoke, stressed that the consequences of ignoring PPPs could be far-reaching. He explained that Nigeria risks being trapped in a cycle of underdevelopment if government continues to rely solely on loans and overstretched public finances to fund critical projects.
Adegoke said, “Nigeria will experience a persistent infrastructure deficit, with facilities falling short of the needs of a growing population. This will undermine national growth, productivity, and competitiveness. Government finances will be overstretched, forcing heavy reliance on loans, which puts public funds in danger and diverts resources from other essential sectors.”
He warned that poor infrastructure would restrict productivity across sectors, particularly in industries dependent on natural resources. According to him, without reliable infrastructure, job opportunities along the value chain of Nigeria’s mineral and agricultural resources will remain limited, making the country’s economic potential underutilised.
He added that inadequate infrastructure discourages foreign direct investment because global investors prefer countries with strong transport, power, and communication systems. This gap, he said, also raises production costs, making locally produced goods less competitive in international markets.
Adegoke also linked the infrastructure gap to weaknesses in education and human capital development. He noted that the absence of quality classrooms, laboratories, digital infrastructure, and student housing hampers learning outcomes, reduces the quality of graduates, and weakens Nigeria’s global competitiveness.
On transport, he said poor road networks and weak logistics infrastructure raise safety risks, delay trade, and increase costs for businesses and households. “Neglecting PPP strategies does not just limit infrastructure growth. It also curtails Nigeria’s social and economic development,” he concluded.
He explained that across Africa, PPPs are gaining acceptance because traditional funding models and government budgets are no longer enough to meet infrastructure demands. He noted that with public resources dwindling, PPPs offer a sustainable alternative to finance large-scale projects in power, roads, mining, and industrial processing. However, he cautioned that not every project is suitable for PPPs and called for careful screening to attract investors and deliver sustainable results.
Adegoke pointed out that Africa’s vast mineral resources such as lithium, cobalt, gold, diamonds, and crude oil require massive investments in processing plants, power generation, and transportation systems. He said PPPs could unlock this potential if African governments develop transparent frameworks and localised strategies.
The former Registrar of the Council for the Regulation of Engineering in Nigeria, Dr Felix Atume, also raised concerns about Nigeria’s weak PPP environment. He explained that although the Infrastructure Concession Regulatory Commission Act of 2005 provides a foundation, the country’s legal framework for PPPs remains underdeveloped and fragmented.
Atume said, “There is no harmonised legislation across federal, state, and local government levels. Investors face uncertainty in land rights, concession laws, and dispute resolution. These gaps discourage private capital because investors need predictable and enforceable frameworks to protect their money.”
He identified excessive bureaucracy, overlapping responsibilities among government agencies, and long approval processes as major obstacles. He added that weak technical capacity to design and manage PPP contracts has led to costly delays, high transaction costs, and reduced investor interest.
Atume further explained that political instability and weak governance also discourage investors. He said frequent changes in government often lead to disruptions of existing concession agreements, while politicisation of project decisions undermines long-term planning. According to him, premature cancellations of contracts create high-risk environments, forcing investors to demand higher returns to compensate for uncertainty.
Both engineers urged Nigerian policymakers to reform the PPP system by strengthening legal frameworks, improving inter-agency coordination, and building technical expertise to design and monitor contracts. They also called for continuous advocacy to counter public scepticism and misconceptions that infrastructure is solely a government responsibility.
They stressed that if Nigeria is serious about bridging its huge infrastructure gap and boosting economic growth, it must embrace PPPs as a strategic tool for development.
