The Pan-African Manufacturers Association (PAMA) has issued an urgent alert regarding the devastating effects of insecurity on Africa’s manufacturing sector.

In its February 2025 news bulletin, PAMA pointed to grave examples, particularly the destruction wrought by Boko Haram, ISWAP, and Ansaru in Nigeria’s northeastern regions, which have forced more than 60 manufacturing firms to shutter their doors.

The International Crisis Group (ICG) backs this assertion, estimating that Boko Haram’s reign of terror has cost Nigeria billions over the past decade, paralyzing local factories and driving skilled labor away from the area.

PAMA’s report, titled “Under Siege as Unrest Surges: How Africa’s Manufacturing Sector is Battling Collapse Amid Rising Insecurity,” also underscores the situation in the Democratic Republic of the Congo (DRC).

The resurgence of the M23 group since 2022 has created chaos, severely obstructing industrial development.

Despite its immense potential as a manufacturing powerhouse, the DRC’s economy is under siege due to these ongoing insecurities, with firms unable to operate safely and effectively, further stunting the sector’s contribution to the GDP.

Reuters (2024) confirms this bleak outlook, reporting that ongoing clashes involving M23 have resulted in a staggering 15% drop in local industrial output.

This instability not only cripples production capacity but also deters foreign direct investment (FDI), crucial for technological advancement and industrial modernization in the DRC.

The situation is equally dire in South Sudan, the world’s youngest nation, which has been embroiled in conflict since gaining independence in 2011. The persistent insecurity fueled by ethnic tensions, political strife, and competition for scarce resources continues to devastate its fragile economy and stifle industrial growth.

Despite various peace agreements, including the 2018 Revitalized Agreement on the Resolution of the Conflict in South Sudan (R-ARCSS), implementation remains plagued by delays and violations.

A 2022 study by the International Crisis Group estimated that conflict in South Sudan has slashed industrial output by as much as 20%, worsening unemployment among its predominantly youthful population.

Engr Mansur Ahmed, interim President of PAMA, emphasized that nations beset by insecurity include Nigeria, DRC, Mali, Somalia, Libya, and Ethiopia—regions where jihadist insurgencies and civil conflicts have severely disrupted manufacturing, supply chains, and investment.

This has particularly affected pivotal areas like Timbuktu, Mopti, and Tigray, weakening industrial productivity and economic stability.

“These ongoing instabilities have devastated manufacturing activities, eroded investor confidence, and posed a grave threat to long-term industrial development and economic growth in the affected regions.”

“Engr Mansur Ahmed, interim President of PAMA, emphasized that nations beset by insecurity include Nigeria, DRC, Mali, Somalia, Libya, and Ethiopia—regions where jihadist insurgencies and civil conflicts have severely disrupted manufacturing, supply chains, and investment.”

Broader Implications for Africa’s Industrial Future

The cumulative impact of these insecurities is staggering. With significant portions of the continent’s manufacturing sector vulnerable to conflict-induced disruptions, Africa faces the imminent risk of a collapsing manufacturing sector.

This will not only stifle domestic production but will also diminish Africa’s contribution to global manufacturing output.

The Way Forward

To confront these pressing challenges and secure Africa’s industrial future, decisive action is imperative from policymakers and industry stakeholders:

1. Strengthen local and regional security institutions and bolster support for peacebuilding initiatives. Enhanced security will stabilize manufacturing hubs and restore investor confidence.  

2. Allocate resources to rebuild and upgrade critical infrastructure —including roads, power supply, and digital connectivity—to ensure uninterrupted manufacturing operations and robust supply chains.  

3. Develop targeted strategies that support local manufacturers during periods of instability through financial instruments, insurance schemes, and emergency response plans to mitigate the impacts of conflict-related disruptions.

The time to act is now. Africa’s industrial future hinges on a collective and assertive response to these challenges.