Lagos, Ogun Attract 87% of Nigeria’s Total N1.74tn Industrial Investments in 2 Years

• Lagos and Ogun states pulled in N1.74 trillion in industrial investments between 2024 and 2025, Manufacturers Association of Nigeria data showed
• The two states accounted for 87.32% of all industrial investments recorded across Nigeria during the period
• Economists pointed to port access, market size, and financial infrastructure as the key reasons manufacturers prefer the Lagos-Ogun corridor

Legit.ng journalist Dave Ibemere has over a decade of experience in business journalism, with in-depth knowledge of the Nigerian economy, stocks, and general market trends.

Lagos and Ogun states absorbed N1.74 trillion ($1.29 billion) of Nigeria's industrial investments between 2024 and 2025, leaving the remaining 34 states to share just N252.23 billion, according to data from the Manufacturers Association of Nigeria (MAN).

The figures, which show the two neighbouring states capturing 87.32% of the country's total manufacturing investments during the period, underline how deeply industrial activity remains anchored to Nigeria's south-western corridor.

Why Lagos and Ogun dominate

Punch reports that Economists say this concentration is no accident. Lagos sits at the centre of Nigeria's commerce and finance, offering manufacturers proximity to the Apapa, Tin Can Island and Lekki ports, as well as access to domestic and international airports.

Muda Yusuf, chief executive of the Centre for the Promotion of Private Enterprise, said the commercial pull of Lagos extended well beyond Nigeria's borders.

Yusuf said:

"Lagos is the commercial capital of the country. Even people from other West African countries come to Lagos to buy. So, there is a huge market advantage that the Lagos-Ogun axis has."

He added that reliable port access was particularly important for manufacturers that rely on imported raw materials or ship finished goods abroad, and that weak road and rail networks made location a critical business decision.

Yusuf said:

"If the rail system is working well, you can set your factory anywhere."

Ogun, meanwhile, has grown into a significant manufacturing base in its own right, with industrial clusters in Agbara, Igbesa, Ota and Sango-Ota.

Its proximity to Lagos lets companies tap into the port and consumer market of the commercial hub while accessing land more readily available for industrial expansion.

Companies including Flour Mills of Nigeria, Unilever, Fidson Healthcare, May & Baker, Dufil and Nycil have established operations in the state.

Between 2014 and 2020, manufacturers invested N3.35 trillion across Nigeria, with Ogun alone receiving N1.68 trillion, or 50.16%, and Lagos attracting N928 billion.

The dominance of Lagos and Ogun has drawn attention to what manufacturers in other parts of the country face.

List of 10 banks with highest capital importation in 2025

Earlier, Legit.ng reported that the National Bureau of Statitics has revealed that total capital importation into Nigeria surged to $6.01 billion in the third quarter of 2025.

This is a 380.16% increase compared to $1.25 billion recorded in the same period of 2024.

Analysts said the surge reflects renewed investor confidence in Nigeria’s banking and financial sectors, driven by portfolio investment inflows, policy reforms, and improving macroeconomic stability.