Economy

For years, Nigeria’s economic debates have revolved around oil prices, exchange rates and inflation. Yet beneath these top issues lies a quieter system that determines whether food reaches markets, medicines reach hospitals, and factories remain open- the supply chain. A new report by Rome Business School Nigeria (RBSN) argues that Nigeria’s weak and fragmented supply chains are silently draining growth, worsening inflation and undermining food and health security. The report insists that fixing these gaps could unlock billions of naira in value and add between 2 and 3 per cent to annual GDP growth. Released in January 2026, the report reframes Supply Chain Management (SCM) as a national development tool rather than a technical business function. It describes supply chains as the hidden infrastructure that connects farms to cities, factories to ports and consumers to essential goods. Why Supply Chains Matter More Than Ever According to the RBSN report, supply chains now shape everyday life. When they work, food prices stabilise, industries grow and jobs multiply. When they fail, inflation spikes and shortages hit households first. “Supply chains are the backbone of modern economies,” the report states. “For Nigeria, strengthening them means better access to food and medicines, stronger industries and reduced dependence on oil.” The report stresses that Nigeria’s recurring economic shocks from food inflation to drug shortages often originate from supply chain failures rather than production shortages. The report traces Nigeria’s supply chain structure back to the colonial era. At the time, roads, rail and ports served one …