Country Programme for Inclusive and Sustainable Industrial Development in Nigeria

2018 – 2022

This Country Programme is the second UNIDO Country Programme with the Government of the Federal Republic of Nigeria. It is aimed at enhancing Nigeria’s drive towards Inclusive and Sustainable Industrial Development (ISID) in line with the Lima Declaration adopted on 2nd December 2013 during the 15th session of General Conference of UNIDO. The Country Programme is aligned to the priorities of the Federal Government of Nigeria as outlined in the Nigeria Vision 20:2020 (NV 20:2020), the Economic Recovery and Growth Plan (ERGP) and the Nigeria Industrial Revolution Plan (NIRP). The Country Programme is designed to build on the achievements of past Country Service Frameworks and the first Country Programme implemented by UNIDO. The Country Programme is an integral part of the United Nations Sustainable Development Partnership Framework (UNSDPF) in Nigeria, and efforts will be made to strengthen synergies and minimize duplication by collaborating closely with other development partners, as well as state and non-state actors, including the private sector in the country during implementation. The Country Programme will guide UNIDO’s interventions in Nigeria from 2018 to 2022. The Federal Government of Nigeria assumes the responsibility of mobilizing funds for the implementation of the Country Programme, and UNIDO will support the Government in this effort.

__________________________________H.E. Dr. Okechukwu EnelamahHonourable Minister of Industry, Trade and Investment of the Federal Republic of Nigeria

Date: _____________________________

____________________________________Mr. LI YongDirector GeneralUnited Nations Industrial Development Organization

Date: _______________________________

Place: ______________________________

Place: _______________________________

Table of contentsCountry Programme.......................................................................................................................................

for Inclusive and Sustainable Industrial Development in Nigeria 2018 – 2022............................................

Table of contents.....................................................................................................................................

Executive summary.................................................................................................................................

I) Country situation analysis.............................................................................................................

I.1 The national context.................................................................................................................I.2. National & regional strategies.................................................................................................I.3. Specific industrial development challenges to be addressed................................................

II) UN Coordination Framework......................................................................................................

III) Past Cooperation and Lessons Learnt..........................................................................................

IV) Country Programme Components..............................................................................................

IV.1. Cross cutting issues............................................................................................................IV.2. Overview of the Country Programme 2018-2022..............................................................

Component 1: Industrial governance, research and statistics.................................................20Component 2: Agroindustry and agribusiness development..................................................21

Component 3: Minerals and metals development..................................................................22Component 4: Trade capacity building..................................................................................23

Component 5: Micro, small and medium enterprises development.......................................23Component 6: Special economic zones (SEZs), industrial parks and private sector development............................................................................................................................24Component 7: Innovation, science and technology management..........................................26

Component 8: Sustainable Energy development....................................................................27Component 9 Environmental management............................................................................27

V) Country Programme Management Framework...........................................................................

V.1. Implementation....................................................................................................................V.2 Coordination.........................................................................................................................V.3 Monitoring, Reporting and Evaluation.................................................................................V.4. Risks....................................................................................................................................V.5. Legal Context......................................................................................................................

VI) Budgeting and Fund Mobilization Strategy...............................................................................

VI.1. Funds mobilization strategy...............................................................................................VI.2. Potential donors and development partners.......................................................................

Annex..........................................................................................................................................................

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List of acronyms:Agence Française de Développement AFDAfrican Development Bank AfDBAfrica Industrialization Day AIDAustralian Agency for International Development AusAIDBusiness Membership Organizations BMOBank of Industry BOICanadian International Development Agency CIDACountry Programme CPCountry Programme Steering Committee CPSCCivil Society Organizations CSODepartment for International Development DFIDDonor Round Table DRTEnergy Commission of Nigeria ECNEconomic Community of West African States ECOWASEntrepreneurship Curriculum Programme ECPEconomic Recovery and Growth Plan ERGPEuropean Union EUFood and Agriculture Organization FAOForeign Direct Investment FDIFederal Government of Nigeria FGNFederal Ministry of Agriculture and Rural Development FMARDFederal Ministry of Education FMEFederal Ministry of Environment FMEnvFederal Ministry of Finance FMFFederal Ministry of Industry, Trade and Investment FMITIFederal Ministry of Mines and Steel Development FMMSDFederal Ministry of Power, Works and Housing FMPWHFederal Ministry of Science and Technology FMSTFederal Ministry of Water Resources FMWRFederal Republic of Nigeria FRNGross Domestic Product GDPGlobal Environment Facility GEFDeutsche Gesellschaft für Internationale Zusammenarbeit GIZIndustrial Clusters ICInformation and Communication Technology ICTIndustrial Development Centres IDCInternational Fund for Agricultural Development IFADInternational Labour Organization ILOInclusive and Sustainable Industrial Development ISIDInvestment and Technology Promotion Office ITPOJapan International Cooperation Agency JICAKorea International Cooperation Agency KOICALagos Chamber of Commerce and Industry LCCIManufacturers Association of Nigeria MANMinistry of Budget and National Planning MBNPMontreal Protocol MP

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Micro, Small and Medium Enterprises MSMENational Chambers of Commerce, Industry, Mines and Agriculture NACCIMANational Research Institute for Chemical Technology NARICTNigerian Association of Small and Medium Enterprises NASMENigerian Association of Small Scale Industrialists NASSINigerian Bulk Electricity Trading NBETNational Bureau of Statistics NBSNational Census of Commercial and Industrial Businesses NCCIBNigeria Employers’ Consultative Association NECANational Economic Empowerment and Development Strategy NEEDSNigerian Export Promotion Council NEPCNigeria Export Processing Zones Authority NEPZANigerian Electricity Regulatory Commission NERCNigerian Educational Research and Development Council NERDCNigerian Investment Promotion Commission NIPCNigeria Industrial Revolution Plan NIRPNigeria Regional Office Hub of UNIDO NROHNigeria Vision 20:2020 NV.20:2020Official Development Assistance ODAOrganization of the Petroleum Exporting Countries OPECOrganized Private Sector OPS Programme Coordination Committees PCCPresidential Enabling Business Council PEBECPower Holding Company of Nigeria PHCNProgramme Implementation Committees PICPresidential Industrial Policy and Competitiveness Advisory Council PIPCACRenewable Energy RERaw Materials Research and Development Council RMRDCSustainable Development Goals SDGSpecial Economic Zones SEZSmall Hydro Power SHPStrategic Implementation Plan SIPSmall and Medium Enterprises SMEStandards Organization of Nigeria SONSenior Secondary Schools SSSThird Industrial Development Decade for Africa IDDA 3United Nations UNUnited Nations Entity for Gender Equality and the Empowerment of Women UN WomenUnited Nations Development Programme UNDPUnited Nations Educational, Scientific and Cultural Organization UNESCOUnited Nations Human Settlements Programme UN-HabitatUnited Nations Industrial Development Organization UNIDOUnited Nations Office for Project Services UNOPSUnited Nations Sustainable Development Partnership Framework UNSDPFUnited States Agency for International Development USAIDWorld Bank WB

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Executive summaryAs part of the implementation of the Basic Cooperation Agreement between the United Nations Industrial Development Organization (UNIDO) and the Government of the Federal Republic of Nigeria, two cycles of Common Service Framework (CSF) and a Country Programme have been formulated and implemented to foster industrial development in Nigeria. The first Country Programme of 2013-2016 was extended to the end of June 2018 to ensure the successful and impactful implementation of the Programme. In full understanding of the achievements of the first Country Programme and in recognition of UNIDO as a specialized agency of the United Nations that promotes industrial development for poverty reduction, inclusive growth and environmental sustainability, in February 2017 the Federal Government of Nigeria through the Country Programme Steering Committee requested UNIDO to commence the process of formulating a new Country Programme in order to continue the organization’s technical support to the country.

To ensure a coordinated approach to the Country Programme formulation, the Steering Committee constituted a Country Programme Drafting Committee comprised of the Federal Ministry of Industry, Trade and Investment (FMITI), Federal Ministry of Power, Works and Housing (FMPWH), Federal Ministry of Mines and Steel Development (FMMSD), Federal Ministry of Environment (FMEnv) and UNIDO. The Country Programme Drafting Committee coordinated the review process of the erstwhile Country Programme implementation with stakeholders from the Federal Ministry of Agriculture and Rural Development (FMARD), Federal Ministry of Finance (FMF), Federal Ministry of Science and Technology (FMST), Ministry of Budget and National Planning (MBNP), Energy Commission of Nigeria (ECN), Nigerian Investment Promotion Commission (NIPC), Bank of Industry (BOI), Manufacturers Association of Nigeria (MAN) among others. The aim of the review was to monitor progress and identify gaps in the Country Programme implementation as well as develop potential focal areas for a new Country Programme, in line with national priorities and reflective of global developments. The potential areas of thrust emanating from the review and consultative process was further scrutinized based on the prevailing challenge of economic recession faced by Nigeria and the urgent need to stimulate growth and diversify the economy within the framework of the Government’s medium-term plan encapsulated in the Economic Recovery and Growth Plan (ERGP) and the Nigeria Industrial Revolution Plan (NIRP). This process, led by UNIDO, identified the main elements of the Country Programme results framework.

The industrial landscape of Nigeria is facing a number of challenges, including the lack of clear policies on industry, trade and investment; existence of a large pool of informal and undeveloped micro enterprises; lack of functional industrial, trade and investment database; lack of economic diversification; unfavourable business environment; weak national quality infrastructure for trade; poor energy access and high cost of manufacturing production; and environmental degradation and issues pertaining to climate change. To address these challenges, the present Country Programme provides a framework for UNIDO’s support to the Government of the Federal Republic of Nigeria.

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The Country Programme is aimed at achieving inclusive and sustainable industrialization for economic growth and diversification in Nigeria and comprises the following nine components, organized along UNIDO’s core three thematic priorities:Creating shared prosperity

1. Industrial governance, research and statistics 2. Agroindustry and agribusiness development3. Minerals and metals development

Advancing economic competitiveness1. Trade capacity building 2. Micro, small and medium enterprises development 3. Special economic zones (SEZs), industrial parks and private sector development 4. Innovation, science and technology management

Safeguarding the environment5. Renewable energy development 6. Environmental management

In the implementation of the Country Programme, UNIDO will support the development of clear and coherent industrial policy frameworks and the availability of relevant and reliable industrial data. UNIDO will further provide technical support to strengthen the value addition and productivity in the agroindustry and agribusiness sectors and support the developments of the minerals and metal sector in Nigeria. UNIDO will work to strengthen quality, competitiveness and market access for Nigeria’s private sector products and support MSME growth and development through improved capacity, skills, financing and market access. Furthermore, UNIDO will support Nigeria to leverage public-private-partnerships for private sector development and the creation of infrastructure dedicated to strengthening manufacturing production. Other important areas of intervention are innovation, science and technology for enhanced industrial manufacturing as well as fostering access to sustainable, reliable and affordable power supply by tapping into Nigeria’s potentials in renewable energy, as well as UNIDO support to enhance cleaner production, waste management and the implementation of multilateral environmental agreements.

A number of cross cutting issues will be considered throughout the planning and implementation of the Country Programme. As indicated in the independent evaluation of the Country Programme 2013-2017, youth and women must be engaged to assure future success. Therefore, gender and age dimensions will be mainstreamed in all components and projects of the Country Programme.

The Country Programme also represents UNIDO’s component of the United Nations Sustainable Development Partnership Framework (UNSDPF), that is, the United Nations system collective response to Nigeria’s development challenges during 2018-2022. UNIDO will implement the Country Programme 2018-2022 within the framework of the organization’s agenda of promoting inclusive and sustainable industrial development (ISID) by drawing on its resources in all branches and field offices. As the anchor for SDG9 that aims to “build resilient infrastructure, promote inclusive and sustainable industrialization and foster innovation” and contributing to other SDGs, UNIDO’s implementation of the Country Programme will contribute to Nigeria’s progress towards achieving the United Nations 2030 Agenda for Sustainable Development.

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The UNIDO Country Programme has an indicative budget of Fifty-Six Million Five Hundred Thousand United States Dollars (USD56,500,000), half of which is expected to be provided as counterpart contribution by the Federal Government of Nigeria. UNIDO will collaborate closely with the Government of Nigeria to mobilize the outstanding funds from bilateral and multilateral sources, international and local financial institutions and the private sector.

I) Country situation analysis

I.1 The national contextThe Federal Republic of Nigeria is located in West Africa. The country is bordered on the west by Benin Republic, on the east by Chad and Cameroon, on the north by Niger Republic and on the south by the Gulf of Guinea in the Atlantic Ocean. Nigeria comprises of 36 States and the Federal Capital Territory. Nigeria’s capital is Abuja while Lagos remains the commercial nerve of the country. Nigeria is officially a democratic secular country and has been a civil democracy since 1999. The country has an area of 923,768 sq.km, extending 1,127 km east to west and 1,046 km north to south. Nigeria has a total boundary length of 4,900 km, of which 853 km is coast line. Nigeria is the most populous country in Africa and the seventh most populous country in the world with an estimated population 181.2 million people as at 2015. Due to the country’s demographics and its large economy, Nigeria is often referred to as the “Giant of Africa.” Nigeria also has one of the largest populations of youth (15 – 35 years) in the world and over 500 ethnic groups and languages. The country’s official language is English and the two dominant religions are Christianity and Islam. As at 2015, about 49% of Nigeria’s population was female and about 48% of the total population lived in urban areas. The population structure was comprised of 53.3% (15-64 years), 44.4% (0-14 years) and 2.7% (65+ years). The country’s average annual population growth rate was 2.6 with an active population over 54 million. Life expectancy at birth was 53.1 with a dependency ratio of 87.7%.

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Figure 1: Map of Nigeriahttps://www.mapsofworld.com/nigeria/nigeria-political-map.html

Nigeria is classified as a mixed economy emerging market in the status of lower middle-income country1. For more than a decade (2002-2014), Nigeria experienced an impressive economic growth averaged 8.8% per annum, which was above the Africa regional average. The GDP per capita also peaked at US$3,203 until the slump in the global price of crude oil in 2014, a situation that landed the Nigerian economy into recession in the second quarter of 2016. About 53% of the people live below the international poverty line of US$2 per day 2 and the country is plagued by the dual challenge of unemployment (18.8%) and underemployment (21.2%) especially among the youth population. Youth unemployment/underemployment is estimated at 52.65%3. In general terms, Nigeria operates deficit financing and the ratio of revenue to GDP and ratio of expenditure to GDP are much lower in Nigeria than the regional figures. The negative and unstable fiscal stance is mirrored by inflation and exchange rates which rose sharply during the crisis periods of 2015 and 2016. Nigeria’s overall economic performance is tied to the structure of the country’s economy. Agriculture (including forestry and fishing) is still the mainstay of the economy contributing more than 46% of the GDP4 while crude oil accounts for over 95% of exports and foreign exchange earnings and manufacturing accounts for less than 1% of total exports5. This is particularly worrisome since both the quantity and price of crude oil are determined by the Organization of Petroleum Exporting Countries (OPEC). Hence, Nigeria is both a quantity and price taker. Manufacturing sector’s contribution to GDP is still at 14.12%.

I.2. National & regional strategiesThe country strategy is built around national and international strategies. These include:

I.2.1 Nigeria Vision 20:2020 (NV20:2020)The NV20:2020 underscores Nigeria’s considerable resource endowment and coastal location as great potentials for strong growth. The Vision foresees that “By 2020, Nigeria will have a large, strong, diversified, sustainable and competitive economy that effectively harnesses the talents and energies of its people and responsibly exploits its natural endowments to guarantee a high standard of living and quality of life to its citizens.” The Vision is aimed at stimulating Nigeria’s economic growth and launching the country onto a 1 “World Bank list of economies”. http:www.worldbank.org.January 20112 2009 data reported by “African Statistical Year Book 2017”3 National Bureau of Statistics, Quarter 3 2017 figures4 National Bureau of Statistics, Quarter 3 2017 figures5 Federal Republic of Nigeria, ERGP 2017-2020, pg.10

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path of sustained and rapid socio-economic development. The blueprint is an expression of Nigeria’s interest to improve the living standards of Nigerian citizens and place the country among the top 20 economies in the world with a minimum GDP of US$900 billion and a per capita income of not less than US$4,000 per annum. To achieve these targets, the Nigerian economy will have to grow at an average of 13.8% during the time horizon, driven by the agricultural and industrial sectors over the medium-term while a transition to a service-based economy is envisaged to achieve long-term development and growth.

The two broad objectives of the Vision are: optimizing human and natural resources to achieve rapid economic growth; and translating the growth into equitable social development for all citizens. These aspirations are defined across four dimensions, namely: social dimension aimed at a peaceful, equitable, harmonious and just society, where every citizen has a strong sense of national identity and citizens are supported by an educational and healthcare system that caters for all, and sustains a life expectancy of not less than 70 years; economic dimension aimed at a globally competitive economy that is resilient and diversified with a globally competitive manufacturing sector that is tightly integrated and contributes no less than 25% to GDP; institutional dimension aimed at a stable and functional democracy where the rights of the citizens to determine their leaders are guaranteed, and adequate infrastructure exists to support a market-friendly and globally competitive business environment; and environmental dimension aimed at a level of environmental consciousness that enables and supports sustainable management of the nation’s natural endowments to ensure their preservation for the benefit of present and future generations.

Based on its technical expertise and mandate, UNIDO can contribute to the achievement of Nigeria Vision 20:2020. The goals and objectives set in Vision 20:2020 are well in line with UNIDO’s vision of inclusive and sustainable industrial development, making UNIDO an important partner to support the Government to driving progress on this important agenda.

I.2.2 Nigeria Industrial Revolution Plan (NIRP)The NIRP, launched in February 2014, was designed as a 5-year plan to accelerate the build-up of industrial capacity in Nigeria. It aims at increasing manufacturing sector’s contribution to GDP which was at 4% to 6% in 2015 and finally above 10% by 2017. The NIRP further targets to drive job creation, economic and revenue diversification, import substitution, export diversification, and a broadened government tax base. To achieve these outcomes, the NIRP is focused on the following pillars where Nigeria is believed to have comparative advantages: agribusiness and agro-allied manufacturing; metals and solid minerals processing; oil and gas related industrial activities; and construction, light manufacturing and services. The NIRP also defines the support structures and enablers needed to realize the country’s objectives in sustainable industrial development to include infrastructures, skills, innovation, investment climate, standards, local patronage and finance. It is important to note that while the NIRP was developed and launched by the previous administration in Nigeria, the current administration found it relevant for driving industrial development and continued its implementation.

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The NIRP is fully in alignment with the mandate of UNIDO. That is, UNIDO can contribute to the overall objective of increasing the manufacturing sector’s contribution to the GDP on a continuous basis and the five expected outcomes of job creation, economic and revenue diversification, import substitution, export diversification, and broadened government tax base. Furthermore, the seven support structures and enablers identified in the NIRP are well embedded in the mandate of UNIDO.

I.2.3 Economic Recovery and Growth Plan (ERGP)The ERGP is the Government’s response to the economic challenges that confronted the country after the collapse of the global price of crude oil and the following plunge of the Nigerian economy into recession in the second quarter of 2016. The ERGP is a medium-term plan for the years 2017-2020. The ERGP is built on the Strategic Implementation Plan (SIP) which premised the Government’s budget for 2016 with the policy goals of tackling corruption, improving security and re-building the economy. Unlike the NIRP which is sector-specific, the ERGP adopted a holistic approach to dealing with the monocultural nature of the Nigerian economy. The ERGP pursues three broad strategic objectives to drive the country’s vision of inclusive growth: restoring growth; investing in people; and building a globally competitive economy. The ERGP states that “to achieve economic diversification, policy focus will be on the key sectors driving and enabling economic growth, with particular focus on agriculture, energy and MSME led growth in industry, manufacturing and key services by leveraging science and technology.” Thus, the industrial sector and particularly manufacturing within the MSME framework is strongly highlighted by the Government to drive Nigeria’s economic recovery and launch the country on the path of sustained growth in the long term. Some of the principles that have driven the thinking and the development of ERGP are: focus on tackling constraints to growth, leverage the power of the private sector, promote national cohesion and social inclusion, allow markets to function, and uphold core values.

UNIDO’s mandate covers the vision of ERGP of inclusive growth and the associated strategic objectives of restoring growth, investing in people and building a globally competitive economy. The ERGP’s vision captures a substantial part of the UNIDO vision on ISID. Based on its technical expertise and mandate, UNIDO can assist in restoring the Nigerian economy back on a high growth trajectory by helping the country to diversify away from oil, enhance the manufacturing sector’s contribution to GDP, diversify export and reduce the country’s import dependency.

I.2.4 Third Industrial Development Decade for Africa (IDDA III)The Third Industrial Development Decade for Africa (IDDA III) is a broad-based international partnership to industrialize Africa in a socially inclusive and environmentally sustainable manner. Given the challenge of high unemployment and poverty ravaging the African continent, where more than 70% of the working age population is either unemployed or without job security, the United Nations declared 2016-2025 as the IDDA III and expressed commitment “from political commitments to actions on the ground.”

UNIDO contributed to the birth of IDDA III and the organization is supporting its implementation both at the regional and national level. In Nigeria, UNIDO will continue to create awareness on the role of industrialization in the overall economic development of the

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country through the celebration of Africa Industrialization Day (AID), provide support for Nigeria to participate actively on the continental free trade area development and harnessing its demographic dividends by contributing to capacity building among youth and women. UNIDO promotes the IDDA III in Nigeria within the framework of ISID implementation at federal, state and local levels in the country.

I.2.5 Agenda 2063 of the African UnionAgenda 2063 of the African Union is a strategic framework for the socio-economic transformation of the continent over a period of 50 years. The core vision of Agenda 2063 is “An integrated, prosperous and peaceful Africa, driven by its own citizens and representing a dynamic force in international arena”.

One of the key features and benefit of Agenda 2063 is that it seeks to harness the continent’s competitive advantages embodied in its people, history, cultures and natural resources, and geopolitical position to:

1. effect equitable and people-centered growth and development;2. eradicate poverty;3. develop human capital; social assets, infrastructure and public goods;4. establish enduring peace and security;5. put in place effective and strong developmental states;6. promote participatory and accountable institutions; and7. empower women and youth to fulfill African dream.

UNIDO’s technical expertise covers a substantial part of the Agenda. UNIDO’s mandate on ISID will help the organization to contribute to 1, 2 and 7. UNIDO can also contribute to 3 centred on developing human capital.

I.3. Specific industrial development challenges to be addressedThe bane of manufacturing is the sector’s high dependence on foreign exchange for import of raw materials, machinery and spare parts. Nigeria’s weak manufacturing base is further demonstrated by the sector’s contribution to merchandise exports and imports. Manufacturing exports share of merchandise exports is both meagre and volatile demonstrating Nigeria’s reliance on export of primary commodities comprised mainly of petroleum oil, oil from bitumen materials, crude natural gas, maize, cocoa, liquefied propane and butane. Correspondingly, the manufactures share of total merchandise imports was alarmingly high at 86.4% in 2010. Nigeria’s debt stock is on the rise since the magnitude of other capital inflows (ODA and FDI) is small. For instance, ODA per capita was less than US$15 from 2011-2015 while FDI per capita was only US$16.8 in 2015. Despite some recent improvements in Nigeria’s ranking on the ease of doing business from 169th position to 145th6, there is a need to do more to enhance the investment climate in the country.

UNIDO will support the Government of Nigeria in implementing its industrial development strategies. To this end, the Country Programme is based on the national and regional development strategy documents described above. In view of the myriads of challenges in the Nigerian industrial space and the need to focus on what UNIDO can contribute to most

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effectively, the Country Programme formulation process narrowed the scope based on UNIDO’s mandate and technical expertise. Based on consultations held with key stakeholders during the formulation process, UNIDO will assist the Government in formulating tailored responses to the identified development issues described below.

I.3.1 Lack of clear policies on industry, trade and investmentNigeria lacks an up to date industrial, trade and investment policies to guide manufacturing performance in the country. The closest to an industrial policy is the Nigerian Industrial Revolution Plan (NIRP). The Federal Ministry of Industry, Trade and Investment (FMITI) is in charge of industry, trade and investment matters in Nigeria. To boost the sector’s performance, there is need for an industrial policy that takes into account new emerging trade and investment plans and strategies. As a federation, each of the 36 States in Nigeria is somehow autonomous and develops policies at subnational levels. State policies are often not linked with national policies and this constitutes a major challenge of the industrial sector in the country.

I.3.2 Existence of large pool of informal and undeveloped micro enterprisesIn 2013, micro enterprises constituted 99.8% of total 37,067,416 MSMEs in Nigeria7. According to the National Bureau of Statistics (NBS) Survey, MSMEs contributed 48.47% to GDP (in nominal terms) and 7.27% to exports in 2013. The contribution of MSMEs to GDP by sectors was 12.26% (industry), 42.02% (agriculture), and 45.72% (services). Nevertheless, a large number of micro enterprises are informal which make targeted interventions for their support difficult and less effective. In addition, there are problems of lack of capital and poor integration into final markets. The survey report further revealed that 69.52% of micro enterprises lacked business plans and 95.99% of them were not registered. Furthermore, 94.61% micro enterprises and 65.16% of small and medium enterprises had no insurance while the products of 90.99% micro enterprises and 65.57% of small and medium enterprises were not patented. Most enterprises also lack requisite entrepreneurial skills. There is a mismatch in industry labour supply and demand: formal education curricular in Nigeria generally lack entrepreneurial content which makes the country produce graduates that are not in demand by the industry. There is a weak connection among MSMEs in the country which hinders value chains development. Linkages between MSMEs and large corporations are not well developed. Nigerian MSMEs largely don’t participate in global value chains. Furthermore, MSMEs suffer from multiple taxation arising from a lack of alignment between national and subnational tax administration in the country.

I.3.3 Lack of functional industrial, trade and investment database Industrial, trade and investment data are often unavailable or not up-to-date in the country. When available, the data are disjointed and rather unreliable. It is not uncommon to find multiple institutions quote different figures for the same indicator. The FMITI through its Industrial Inspectorate Department (IID) undertakes periodic inspection of industries in Nigeria. Unfortunately, the data obtained during the exercise is seldom processed or published. Furthermore, the data is narrow in outlook since the data collection instruments were not designed to produce a thorough analysis of the sector’s performance. Nigeria has not undertaken census of business establishments in the country in about two decades which 7 Micro, Small and Medium Enterprises Survey, 2013 by National Bureau of Statistics (NBS)

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hinders the production of indices of industrial production among other statistics. Lack or inadequate industrial data has made it difficult to establish an industrial performance monitoring system in Nigeria. Current efforts aimed at industrial performance monitoring by the Manufacturing Association of Nigeria (MAN) is conducted manually.

Although Nigeria has a One Stop Investment Center (OSIC) in the Nigerian Investment Promotion Commission (NIPC), investment records are inadequate and often fall below expectation. Trade statistics are scattered but mostly obtainable from the NBS and CBN while investment statistics are mostly found in CBN and NIPC. A major challenge to industrial, trade and investment data generation, as well as its processing, storage, analysis and dissemination is weak capacity of public institutions and a lack of clear delineation of functions among ministries, departments and agencies.

I.3.4 Lack of economic diversificationNigeria has remained a producer and exporter of primary commodities right before the country’s political independence in 1960. Prior to the advent of oil in the late 1950s to the oil boom of 1973, agriculture was the mainstay of the Nigerian economy as the sector made significant contributions to GDP, government revenue, foreign exchange earnings and a major employer of labour. With the oil boom, agriculture lost its dominance as the main source of government revenue and foreign exchange earnings to oil, an aftermath of Dutch disease. To date, there is a strong dependence of the Nigerian economy on the oil sector for government revenue and foreign exchange, albeit the fact that the sector is an enclave economy making insignificant contribution to employment and GDP. As a member of OPEC, Nigeria is both a price and quantity-taker making the country highly susceptible to the vagaries in the international oil market as both parameters are determined externally. While the problems associated with this condition had been long recognized, efforts at diversifying Nigeria’s economy away from production and export of primary commodities had yielded limited results. The dependency on global oil prices led to a plunge into recession in the second quarter of 2016. Unless economic diversification is achieved, the Nigerian economy will continue to be very exposed to the price volatility in global commodity markets. The sectoral distribution of GDP as at quarter 3 of 2017 as illustrated in Figure 1 shows great potential for diversifying the economy by developing commodity value chains in agriculture and mining and quarrying and enhancing manufacturing value added in the country.

Figure 2: Sectoral Distribution of GDP as at quarter 3 of 2017

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Source: National Bureau of Statistics

Nigeria also needs to invest in export upgrading to reduce the country’s reliance on commodity exports. The current situation where less than 1% of total exports are explained by the manufacturing sector is not helpful for the country. Unfortunately, analysis of the structure of these exports in relation to the key sectors highlighted in the NIRP is constrained by data. Upgrading towards manufacturing exports represents an important avenue to move out of commodity reliance.

I.3.5 Business environmentDespite Nigeria’s commendable progress of ascending 24 places in the World Bank ease of doing business ranking – from 169th position in 2017 to 145th position in 2018 out of 190 countries, the country still faces challenges in a number of indicators. For instance, Nigeria still ranks 183 in trading across borders, 179 in registering property, 172 in getting electricity, 171 in paying taxes, 147 in dealing with construction permits, 145 in resolving insolvency and 130 in starting business. Efforts need to be intensified by the country in order not to slide back in these areas.

The ranking clearly indicates that the business environment in the country is still less than friendly, constituting a challenge to attracting foreign investment. An unfavourable business environment is also a good indicator of high cost of doing business and low competitiveness. Hence, private sector operations are stiffened and the development of MSMEs is impeded with the concomitant effects of reduced employment generation and income creation as well as worsened poverty situation.

I.3.6 Weak national quality infrastructureNigerian manufacturing products are finding it difficult to access international markets. The products are either of poor quality and not accepted or they are produced to international standard but at an uncompetitive price. While a lot has been done to tackle some of the

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issues in trade by developing quality policy, establishing conformity assessment bodies and accreditation bodies, building national metrology institute and raising consumer awareness on their rights to quality in consumption, the lack of local capacities represents a challenge to consolidating and sustaining the gains of previous initiatives.

I.3.7 Poor energy access and high cost of manufacturing productionNigeria is facing a huge energy demand-supply gap. Total power generation reached its peak at 7,000MW in 2017 but the demand for domestic and productive uses is more than double. Energy consumption per capita is estimated at 8.1MWhr and average access to energy is 51% across the country, with only 10% in rural areas. Power generation, transmission and distribution was a public-sector business with the Government spending an average of US$2 billion annually on electricity provision from 1999 until the sector got privatized in 2013. Despite the privatization of the 6 power generation plants and 11 distribution companies unbundled from the former Power Holding Company of Nigeria (PHCN), the power sector in Nigeria still suffers from shortage of gas supply for thermal plants, high levels of unpaid electricity bills, and an outdated and poorly maintained transmission network leading to frequent power outages in the country. With the low energy supply and incessant power outages, MSMEs often rely on self-generation of power through generators which are usually expensive to procure, operate and maintain. This hampers manufacturing and constitutes a huge cost to production and is antithetical to the global drive towards a green economy.

Tapping Nigeria’s high potential in renewable energy sources represents an important opportunity to increase access to reliable and affordable energy. For example, Nigeria has enormous solar energy potential, with fairly distributed solar radiation averaging 19.8 MJm2/day and average sunshine hours of 6h/day giving a concentrated solar thermal power and photovoltaic generation of around 427,000MW8. The potential for small hydro power (SHP) is estimated at 3,500MW with just about 64.2MW being exploited. Nigeria is an agrarian country and its biomass resources are mainly crops, forage grasses, shrubs, animal wastes and waste arising from forestry, agriculture and municipal and industrial activities. The renewable energy (RE) potentials of the country remained largely untapped due to a number of reasons principal among which are inappropriate pricing, weak capacities, lack of familiarity with renewable energy technologies and limited effective financing options.

I.3.8 Environmental degradation and climate change issuesNigeria is facing a number of environmental challenges, both natural and man-induced. Increased urbanization, industrial activities, ozone layer depleting transport system and unethical land use in agriculture among others are exerting pressures on the environment with far ranging consequences manifested in pollution, flooding, erosion, desertification, etc. In addition, Nigeria’s population approaching 200 million people generates huge municipal and solid wastes which the country has not been able to manage properly. Further, the rising prevalence information and communications technology (ICT) in an increasingly globalized world have its effects on Nigeria. There is an increasing stockpile of electronic wastes arising from high penetration of mobile telephony, computerization and

8 Renewable Energy Potential in Nigeria – Low-carbon approaches to tackling Nigeria’s energy poverty, International Institute for Environment and Development, 2012

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ongoing digitization in the country. Furthermore, an important effect of human activities with dire consequences on the environment is the artisanal mining operations in rural communities which lead to pollution, poisoning and massive land degradation.

As a member of international organizations and associations, Nigeria is signatory to a number of treaties, protocols and conventions aimed at safeguarding the environment. In many instances, there is a lack or low awareness among the public on these treaties, protocols and conventions. Further, the country lacks capacity to adapt, enforce and implement several of these global laws. Capacity building will be necessary for Nigeria to meet its international obligations from the Stockholm Convention, Kyoto Protocol, Minamata Convention, and Paris Agreement on climate change among others.

II) UN Coordination Framework

The third cycle of the United Nations Development Assistance Framework (UNDAF III) implemented by the United Nations system in Nigeria ended in December 2017. The successor United Nations Sustainable Development Partnership Framework (UNSDPF-2018-2022) outlines the strategic direction and results expected from the cooperation between the Federal Republic of Nigeria and the UN System in Nigeria. It serves as a framework for collective support and response of the UN system to the national development initiatives of the Government as per the Nigeria Vision 20:2020 (NV20:2020), the Economic Recovery and Growth Plan (ERGP), the Sustainable Development Goals (SDGs), Africa Union Agenda 2063 and other internationally agreed declarations. The UNSDPF-2018-2022 reflects Nigeria’s changing economic, social and environmental conditions and is designed as a strategic framework to assist addressing Nigeria’s development and humanitarian challenges, leveraging UN leadership, comparative advantage and capacity.

The UNSDPF-2018-2022 is underpinned by several vital principles and considerations. These include the United Nations programming principles on human rights, inclusive development, gender equality and women empowerment, sustainable development and resilience, accountability as well as the principle of “leaving no one behind. In line with these core programming principles, the UNSDPF incorporates and mainstreams humanitarian response. It has also places emphasis on capacity building for government institutions which provide basic services, as well as on communities emerging from crisis, including those in the North-East.

The UNSDPF identifies three priority result areas for UN action in Nigeria, namely: 1. Governance, Human Rights, Peace and Security; 2. Equitable Quality Basic Services; and 3. Sustainable and Inclusive Economic Growth and Development.

The UNIDO Country Programme fits into the third result area on “Sustainable and Inclusive Economic Growth and Development” which is divided into three outcome groups, namely:

a. Diversified Economic Growth; b. Population Dynamics; and

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c. Environmental Sustainability and Food Security.

The United Nations Industrial Development Organization (UNIDO) is a major contributor to the outcome groups on ‘Diversified Economic Growth’ and ‘Environmental Sustainability and Food Security’ and is working closely with UN partners in Nigeria to achieve the goals set in the UNSDPF. As with the previous UNDAF, UNIDO will lead the outcome group on ‘Diversified Economic Growth’ during implementation with contribution from other agencies, including UNDP, ILO, FAO, IFAD, UN Women, UNESCO, UN-Habitat and UNOPS.

III) Past Cooperation and Lessons LearntUNIDO commenced activities in Nigeria in 1966 and the first project was implemented in 1968. To date UNIDO has implemented over 435 projects in the country. The first Country Programme (2009-2017) originally with an end date of 2012 was revised and extended to 2016 and later extended by one year to ensure its successful conclusion. The primary objective of the first Country Programme as with earlier programmes of cooperation, was to support rapid industrialization in Nigeria, diversification of the economy and supporting the Government achieving the status of becoming one of the 20 largest economies by 2020 as stated in the Vision 20:2020.

The Country Programme (2009-2017) follows the UNIDO thematic priorities at the time, consisting of the following themes and corresponding components:

Theme A: Poverty Reduction through Productive Activities: Component A1: Governance, Research and Capacity Development; Component A2: Agro-Industries, Value Addition and One Village One Product; and Component A3: Private Sector Development.

Theme B: Trade Capacity Building: Component B1: Trade Capacity Building; and Component B2: Investment and Technology Promotion.

Theme C: Energy and Environment: Component C1: Renewable Energy; and Component C2: Environment.

From September-December 2017, an Independent Evaluation of the Country Programme 2013-2017 was carried out by UNIDO, with strong involvement from national stakeholders. The evaluation adopted a participatory and collaborative approach involving government officials and other stakeholders including donors, and the private sector. The focus of this evaluation was to review outcomes and impact of UNIDO interventions and activities in Nigeria between 2012 and 2017.

The evaluation found that UNIDO is recognized, valued and sought after because of its technical expertise in industrial development. The organization’s knowledge of the country and region and its specialized mandate constitute its comparative advantage in the country.

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According to the evaluation, the three thematic priorities of the Country Programme have great relevance for the people and government of Nigeria and the region. In most cases, national and regional partners demonstrate an appreciable level of ownership and commitment to UNIDO interventions. The programme design is coherent and logical but the desired outcomes are quite ambitious.

The evaluation also found strong evidence that a good number of projects have potential for impact, but it suggests to a greater focus on fewer larger comprehensive well-planned projects in the future, for greater, deeper and longer-lasting change.

The evaluation commended UNIDO’s active role as a member of the UN family in Nigeria, contributing strategic leadership to UNDAF formulation and implementation, but highlighted that UNIDO’s engagement with the private sector was found to be weaker than its engagement with the public sector.

The evaluation further identified a number of concrete lessons learned and recommendations that have been thoroughly taken into consideration in the development of the second Country Programme and will continue to inform the implementation and monitoring of the programme and its projects. These include amongst others the development of a theory of change to support the results-based management framework; the development and documentation of a comprehensive, budgeted monitoring and evaluation plan; a focus on large, carefully designed and integrated interventions rather than smaller projects; using advocacy in support of policy work; a renewed focus on capacity development; the consideration of clear exit strategies for all interventions; the collection, and collation of sex, age and status disaggregated data for all project and programme activities; as well as realistic work plans and time management.

IV) Country Programme ComponentsBuilt on the lessons of previous engagement in Nigeria, national priorities as well as on the analysis of the challenges facing the country’s economic landscape, the UNIDO Country Programme 2018-2022 represents a framework for collaboration between the Federal Government of Nigeria and UNIDO for inclusive and sustainable industrial development. The Country Programme is firmly rooted in the Basic Cooperation Agreement between the Government of the Federal Republic of Nigeria and UNIDO which was signed in 1992. The Country Programme is an articulation of UNIDO’s support responding to the gaps in industrial development in Nigeria, which are in alignment with the mandate of UNIDO, and includes the modality of operation for achieving results. UNIDO is committed to working with all stakeholders to achieve the outcomes and objectives identified in the Programme.

In line with the rapid changes in the global and national economic landscape and based on the experience of previous Country Programme implementation, the current Country Programme is designed to adopt a programmatic approach to the formulation of the components. Hence, the Country Programme components will be fairly broad in outlook to accommodate a wide range of issues now and allow for adaptation in the future. During the initiation phase of the Country Programme the Country Programme components and corresponding projects will be developed and formulated in detail.

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IV.1. Cross cutting issuesA number of cross cutting issues will be considered throughout the planning and implementation of the Country Programme. As indicated in the independent evaluation of the Country Programme 2013-2017, youth and women must be engaged to assure future success. Therefore, age and gender equity dimensions will be reflected in all components and projects of the Country Programme, including by giving more attention to collection, collation and dissemination of sex and age disaggregated data for all programme and project activities.

IV.1.1. GenderGender equality and women’s empowerment, particularly women’s economic empowerment, are core to UNIDO’s mandate. The need to push for gender equality and the economic empowerment of women has been reconfirmed as a central priority of UNIDO’s medium-term programme framework 2018-2021. Enhancing the role of women as drivers of poverty reduction, promoting female investors and entrepreneurs, and recognizing the link between gender equality and safeguarding the environment all promote inclusive and sustainable industrialization, and directly contribute to the achievement of the SDGs, in particular SDG9 on industry, innovation and infrastructure, and SDG5 on gender equality. Educating and investing in women and girls is proven to have a multiplier effect on productivity, efficiency and economic growth. But strengthening women economically is not only a means to spur and sustain inclusive industrial development, it is also a matter of advancing the human rights9 of women. Gender equality and women empowerment coupled with the principle of leaving no one behind therefore guides the formulation and implementation of the Country Programme.

Given the persistent gender inequalities in Nigeria, and the key roles women can play in the management of MSMEs, in agricultural and natural resources exploitation and the differences of roles and responsibilities in production and marketing, gender will be mainstreamed in all the components of the Country Programme. Considerations of gender equality and the empowerment of women will continue to be central to the formulation stage and throughout the initiation phase of programme implementation when baseline data will be gathered to inform work plan development. This will ensure that gender equality and the empowerment of women will be an integral part of programme implementation and monitoring. In specific terms, the Country Programme and all its components will be based on gender disaggregated data in the planning of all activities, including capacity development to ensure gender concerns are adequately addressed.

The Country Programme is poised to promote gender equality in Nigeria’s economic development as it highlights the role of women and the importance of strengthening their capacity for increased involvement in decision making processes. This is expected to increase economic opportunities for women, create jobs and income for them and ultimately enhance their standard of living.

The Country Programme will be implemented within the framework of UNSDPF, creating opportunities for UNIDO to work with UN Women and other UN agencies and

9 Statement by Mr. LI Yong, UNIDO Director General on gender equality and the empowerment of women. 20

development partners to address gender equality and women empowerment in a coherent and integrated manner.

IV.1.2. YouthThe empowerment and economic inclusion of young people is a core priority of UNIDO’s work to foster inclusive and sustainable industrial growth. As reaffirmed in the Lima declaration adopted in 2013, industrialization increases productivity, job creation and generates income, thereby contributing to poverty eradication and addressing other development goals, such as creating decent employment for the youth. UNIDO’s mandate of working towards inclusive and sustainable industrial development therefore represents an important opportunity to empower and engage young people and tap into their productive potential.

Nigeria has one of the largest youth populations (15 – 35 years) globally and is facing massive youth unemployment and underemployment, which is estimated at 52.65%10. Poverty levels among Nigerian youth are estimated at 65.3%. Creating economic opportunities for young people is therefore a core priority for the Government and its development partners.

To this end, the present Country Programme will integrate considerations of youth empowerment throughout programme design and implementation and will include a number of targeted interventions aimed at promoting the economic inclusion of young people. Wherever applicable, the programme will collect age disaggregated data, to measure the impact of activities on young people.

IV.2. Overview of the Country Programme 2018-2022The overall objective of the country programme is to achieve economic growth and diversification through inclusive and sustainable industrial development, in line with national priorities and SDG9. For convenience and ease of administration, the Country Programme is organized along three thematic priority areas, namely: creating shared prosperity; advancing economic competitiveness; and safeguarding the environment. Responding to the above described challenges and opportunities faced by Nigeria, the Country Programme will be structured in nine components as presented below. The CP components and corresponding projects will be further developed and formulated in the initiation phase of the CP. The detailed results framework of the Country Programme is presented in the Annex.

Throughout the design and implementation of the components and its corresponding projects, UNIDO will ensure to identify linkages between the nine components, and leverage opportunities for synergies and cooperation in order to maximize results and impact.

Thematic priority A: Creating shared prosperity The overriding objective of the Government is to stimulate and sustain economic growth by diversifying the productive base of the Nigerian economy. This is in view of some

10 National Bureau of Statistics, Quarter 3 2017 figures21

prevailing factors that characterize the economy including high incidence of poverty, high unemployment and underemployment especially among the youth, production and export of primary commodities, high import dependency in raw materials and finished products, weak entrepreneurial skills, obsolete technologies, and a weak manufacturing base. Other features of the economy are weak supporting infrastructure in manufacturing production including energy, lack of industrial and technological parks, lack of appropriate policy and regulatory frameworks for industrial governance, weak research-industry linkage, weak inter-sectoral linkages, paucity of data, lack of national system on innovation and a weak private sector. In recognition of these debilitating factors, the Government launched the NIRP and the ERGP to make industry take its central place in Nigeria’s economic diversification, growth and development process. The Government’s full commitment to the implementation of these initiatives should alter the structure of the economy and contribute to the achievement of the 2030 Agenda for Sustainable Development and the associated SDGs in Nigeria.

Through the Country Programme, UNIDO will be collaborating with the FMITI and its parastatal organizations, Federal Ministry of Agriculture and Rural Development (FMARD), Federal Ministry of Mines and Steel Development (FMMSD), Federal Ministry of Education (FME), Nigerian Educational Research and Development Council (NERDC), Federal Ministry of Science and Technology, Raw Materials Research and Development Council (RMRDC), National Bureau of Statistics (NBS), the organized private sector (OPS), civil society organizations (CSOs) and other stakeholders including State Governments to address the challenges described above.

The following three components will be developed under this thematic priority area of the Country Programme.

Component 1: Industrial governance, research and statistics This component is aimed at addressing the identified gaps in policies on industry, trade and investment, lack of requisite data for industrial planning, management and research as well as deficiencies in industrial capacity.

Accordingly, UNIDO will provide support to Nigeria in a number of ways, including the following:

Policies on industry, trade and investment: UNIDO will provide support to Nigeria to develop clear policies at national and subnational levels to guide industrialization and promote trade and investment in the country. The number of state-level policies will depend on the requests made to UNIDO for such support from state governments. This will be managed by taking geopolitical balance into consideration during implementation. UNIDO will further support the harmonization of state policies with national policy for coherence, by ensuring the former takes direction from the latter but mindful of peculiarities of states and available incentives at the national level that states can benefit from.

Industrial research and statistics : For effective management of Nigeria’s industrial landscape, UNIDO will support research activities and statistical development to enhance informed industrial decision making in the country. This will entail

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industrial sector/subsector specific studies and fostering a strong statistical base for decision making in areas such as textile and garment and leather among others. UNIDO’s support will also cover industrial data collection, processing, storage retrieval and management by helping the country to develop methodologies and generate industrial indicators as well as develop national capacities for statistical data production and management. All these activities will be premised on conducting a national census of commercial and industrial businesses (NCCIB). Support for industrial statistics will also cover database development through frameworks that harmonize roles of statistical institutions and aim at creating synergies in the country.

National capacity development for ISID : UNIDO will support capacity development for ISID promotion and industrial governance in Nigeria by building on the success of the project on “capacity strengthening for sustainable industrial development in Nigeria”, which was implemented under the previous Country Programme. This will entail developing the capacity of a critical mass of officers of the FMITI and some of its parastatal agencies to champion the implementation of NIRP and any successor programmes on industrialization in Nigeria through mentoring, training, study tours, institution building, etc. UNIDO’s support will also extend to working with the organized private sector to develop their capacity to produce periodic reports on industrial performance monitoring in Nigeria, in consonance with the Government.

Component 2: Agroindustry and agribusiness development As one of the critical sectors in focus for Nigeria’s economic diversification, UNIDO will help to underscore the importance of agribusiness and agroindustry as an engine of growth and decent job creation in the country. This will entail technology transfer and development of local technical capacities and skills through sensitization, training and coaching businesses and showcasing best practices to stakeholders. UNIDO’s interventions will support agricultural value chain development especially in critical commodities identified in the NIRP. This will entail positioning businesses in the value chains while fostering value addition through the improvement of the functioning of specific value chain segments. The Organization’s interventions will also aim at fostering and reinforcing the linkages between the different actors involved in the value chain. While taking as primary entry point the processing of agricultural products it also focuses on the implementation of quality standards along the value chain, develop the supplies from primary producers, foster marketing to local and external markets, improve access to finance, and develop cleaner production and energy efficiency as well as contributing to the positive development of the wider socio-economic and business environment.

UNIDO’s support for agroindustry and agribusiness promotion is of utmost importance in view of the agrarian nature of the Nigerian economy, the potential for reduction in post-harvest losses, employment generation, wealth creation and rural development among others.

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Component 3: Minerals and metals development The minerals and metals sector is another area highlighted for Nigeria’s economic diversification in the ERGP based on the country’s huge endowments in minerals deposit. Accordingly, UNIDO will provide technical support for Nigeria to enhance the contribution of the sector to GDP. To this end, UNIDO will support the development of clusters for minerals and metals processing and the establishment and maintenance of medium-level geo-scientific /mineral engineering laboratories to enhance activities in the sector. UNIDO will also conduct activities aimed at building the capacity for solid mineral processing and beneficiation, as well as iron and steel development. UNIDO will support the formalization of informal sector activities in the sector including artisanal mining and promote environmental standards among operators. Considering the high-energy intensity of ore and metal processing, as well as the environmental dimensions, synergies will be fostered with activities implemented under components 8 and 9 of this Country Programme, by promoting environmental sustainability, sustainable energy development/energy efficiency in the mining sector. UNIDO’s support under this component will promote activities in the ceramic pottery industries, artisanal and small-scale mining value chains (in gold, lead/zinc, iron ore, baryte, aluminum, copper, brass, etc).

Thematic Priority B: Advancing economic competitivenessThe overall objective of the Government in relation to economic competitiveness is to ensure that the country’s products and services have good access into international markets. In addition, the Government aims at attracting foreign direct investment to complement domestic resources for Nigeria’s industrial development by creating a conducive business environment in the country.

UNIDO will support Nigeria to enhance the business operating environment in the country, reduce the cost of doing business, enhance efficiency in production and marketing, and promote products quality upgrading and competitiveness of the economy. The UNIDO’s supports to achieve these will entail working to strengthen and sustain previous interventions of UNIDO in the country on ‘zero rejects’ and national quality infrastructures project (NQIP) among others.

Through the Country Programme, UNIDO will be collaborating with the FMITI and a number of its parastatal organizations including the Nigerian Investment Promotion Commission (NIPC), Small and Medium Enterprises Development Agency of Nigeria (SMEDAN), Nigerian Export Processing Council (NEPC), Bank of Industry (BoI), Standards Organization of Nigeria (SON) and Consumer Protection Council (CPC). UNIDO will also be collaborating the with Federal Ministry of Science and Technology, the organized private sector (OPS), civil society organizations (CSOs) and other stakeholders including State Governments to address the challenge of lack of economic competitiveness in Nigeria.

The following four components will be developed under this thematic priority area of the Country Programme.

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Component 4: Trade capacity building UNIDO’s first Country Programme addressed the challenge of weak access of Nigerian products into international markets which is mainly due to a lack of national quality infrastructures, standardization and accreditation bodies, and weak policy and regulatory frameworks for trade promotion and facilitation. Thanks to UNIDO’s assistance, the export ban of dried beans to the EU was lifted within the period of the previous Country Programme. Under the new Country Programme, UNIDO will provide technical support to deepen and consolidate achievements and ensure the institutionalization of quality attributes into the country’s trade architecture when the NQIP is closed by July 2018.

The trade capacity building component is aimed at enhancing trade capacity and trade facilitation as well as strengthening trade quality infrastructure in Nigeria. Hence, UNIDO will provide support for the ratification of the National Quality Policy, strengthen the National Metrology Institute (NMI) and the established National Accreditation Body (NAB), raise public awareness on consumer protection and their rights, and build capacity of the private sector to produce high quality goods and services. UNIDO will also support Nigeria to enhance the ease of doing business in the country, create incentives to drive investments and facilitate local and international trade. Overall, UNIDO will support Nigeria to develop policy and regulatory frameworks to promote and facilitate trade (local and foreign) and develop capacity for trade negotiation, facilitation and promotion. The interventions will enhance Nigeria’s competitiveness and help to remove technical barriers to trade as well as foster compliance with sanitary and Phyto-sanitary measures.

Component 5: Micro, small and medium enterprises development To address the challenges confronting MSME development in Nigeria, UNIDO will deploy its technical expertise to support the growth and development of MSMEs by addressing the constraints confronting the sector including access to finance, weak infrastructure, inconsistencies in government policies, access to markets, multiple taxation, and obsolete technologies. The scope of interventions will be guided by the NIRP which has identified agribusiness and agro-allied, solid minerals and metals, oil and gas related industry, as well as construction, light manufacturing and services as priorities. Some specific technical interventions of UNIDO will be in the following areas.

• Strengthening capacity for MSME growth: UNIDO will support strengthening local capacities for MSME growth in Nigeria by developing capacity for feasibility studies, business plans and project profiling for investment decision making and enhancing access to finance for the sector. Capacity building efforts will also focus on vocational skills trainings and entrepreneurial development for effective management, growth and development of MSMEs in the country. Specifically, UNIDO will partner with FME and NERDC to develop an entrepreneurship curriculum and facilitate its implementation in senior secondary schools, first in piloting states and then rolling it out to all of Senior Secondary Schools in Nigeria. The objective of this intervention is to equip the Senior Secondary School students and some out of school youth with trade and entrepreneurial knowledge, skills and attitudes that will inspire and enable them to identify opportunities, select, plan, start

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and successfully manage their MSME. By targeting and supporting a large number of youth to acquire trade and entrepreneurial competences during their formal and out-of-school education, this initiative will help to build an entrepreneurial foundation that will enable Nigeria to progressively wean off dependence on oil, and consequently attain a sustainable and diversified economy.

• Product development and access to markets: The support to enhance market access will be built around production of high quality, standard and accredited products, packaging, competitiveness, etc. This will cover MSMEs in selected subsectors identified in the NIRP.

• Technology and enterprises upgrading : UNIDO will support upgrading of machinery and introduction of appropriate and modern technologies to enhance productivity and efficiency of MSMEs for optimal operational performance. This should contribute to the evolvement of green industries in Nigeria.

• Infrastructure development: UNIDO will support the FMITI in its quest to convert existing 23 industrial development centres across Nigeria into industrial clusters. Through this, concerted efforts can be mustered to address energy deficits, raw material purchases and products sales, training, etc. through industrial agglomeration.

Component 6: Special economic zones (SEZs), industrial parks and private sector development UNIDO will support government initiatives to establish special economic zones (SEZs), industrial parks and clusters for increased trade and investment, job creation and effective administration of industries in the country by working with key institutions such as FMITI, NEPZA and OGFZA. The SEZs and industrial parks will serve as manufacturing hubs and growth corridors. They will offer specific incentives which attract foreign direct investment by creating the obverse of factors that cripple industrialization. A number of the SEZs focusing on different manufacturing subsectors will be created in different locations across the country using different models. This intervention will target private sector development by promoting public-private partnership. UNIDO’s support will be in specific areas including the following.

• Feasibility studies and master plan development: UNIDO will support Nigeria to conduct feasibility studies containing all necessary parameters for decision making by investors. The organization’s support will also include development of master plans for the establishment of the SEZs. This will be achieved by working closely with relevant stakeholders including the private sector.

• Setting up model SEZs: In view of the great importance attached to the development of SEZs by the Government with a view to addressing infrastructural deficits challenging industrial development in Nigeria, UNIDO will provide technical assistance for setting up model SEZs in the country. The support will entail developing managerial capability for the zones, renewable energy development, zero discharge treatment plants and other environmental management mechanisms, among others. Interventions in SEZs will span a number of sectors including

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agriculture, automotive, textiles and leather among others. In this regard, UNIDO will build on the Staple Crops Processing Zones project which was implemented in the framework of the first Country Programme. The project developed master plans for six sites with focus on different agricultural commodities. UNIDO will explore opportunities to expand the partnerships built through that project, in particular with the Government of Nigeria, the World Bank and the African Development Bank to implement the Staple Crop Processing Zones using the master plans developed under the previous Country Programme. The new Country Programme will also build on the Nnewi Auto Industrial Park (NAIP) project implemented under the last Country Programme and support other automotive industrial parks proposed for Kaduna and Osogbo by the Feral Government of Nigeria.

• Investment promotion: UNIDO will support the Government to promote investments into the SEZs by organizing investment promotion meetings, seminars, conferences, fora and road shows within and outside Nigeria. Considerable efforts will be devoted to attracting Foreign Direct Investment by incentivizing world class companies to come and invest in the SEZs and industrial parks. The investment promotion activities will benefit support from the Investment and Technology Promotion Office (ITPO) especially in project profiling, investment promotion and enterprise development. Hence, investment promotion will be undertaken in close collaboration with the UNIDO ITPO and NIPC.

• Ease of doing business: UNIDO will support the efforts of the Federal Government of Nigeria to create an enabling business environment in the country. This will entail providing support to the Presidential Enabling Business Environment Council (PEBEC) and the Presidential Industrial Policy and Competitiveness Advisory Council (PIPCAC). These initiatives of government are yielding positive results already, but these need to be upscaled and sustained to enhance industrial performance and ease of doing business in the country.

• Strengthening private sector : UNIDO will support private sector development by contributing to strengthening the capacity of the organized private sector through working with business membership organizations such MAN, NACCIMA, NASSI, NASME, NECA and LCCI to render a more result-oriented services to their members. The support will also entail building partnerships between the public and private sector and civil society organizations for increased contribution of the private sector to sustainable industrialization of Nigeria within the framework of the economic diversification programme of the Government. Furthermore, UNIDO will convene quarterly meetings with the organized private sector and the Government to promote public policy advocacy, articulate appropriate recommendations for the challenges in the industrial sector to rightly position the private sector as the engine of growth in the country.

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Component 7: Innovation, science and technology management A strong innovation, science and technology system is a prerequisite for sustainable industrial development. UNIDO’s technical support can help to promote science, technology and innovation for enhanced industrial manufacturing with a specific focus on the challenges of MSMEs including access to finance, skills, entrepreneurship, markets and infrastructures in critical areas such as agri-business, automotive, leather, textile and apparel, solid minerals, etc. The impact of “Industry 4.0” will be wide and profound, reaching all economic sectors, disciplines, and economies, and bringing about multiple challenges that will be particularly difficult to meet in developing countries. At the same time, the potential of Industry 4.0 for development is increasingly evident, as it promises improved methods of production and business models through new technologies, including automation, augmented reality, and the Internet of Things. In this context and in alignment with the Government’s goal of diversification of the economy, UNIDO can support the implementation of diagnostic and foresight activities with a view to developing a national strategy for the industry to better prepare for Industry 4.0 through an Industry 4.0 roadmap exercise. UNIDO’s support could also include accessing global cleantech innovation for start-ups and SME development in Nigeria. UNIDO’s support can focus on specific areas such as developing a national system on innovation, mainstreaming technology upgrading in industrial production, instituting innovation awards, and carrying innovation and technology diagnostic and foresight activities.

Thematic Priority C: Safeguarding the environment The environment is an important factor to consider in the promotion of industrial development. Hence, there is an urgent need to deal with environmental issues in Nigeria including pollution, climate change, habitat destruction and over exploitation of natural resources which are doing great harm to human health, wellbeing and livelihoods as well as undermining the prospects for a long-term resilient and robust economy. These environmental challenges result from industrial activities in crude oil production and mining, the use of inappropriate technologies and techniques by MSMEs and the use of obsolete transport equipment among others. These activities exert pressure on resources such as water, air and land. Nigeria is signatory to key international treaties, conventions and protocols but still finds it difficult to adapt these to the Nigerian context and develop national actions for implementation.

UNIDO will be collaborating with Federal Ministry of Environment, Federal Ministry of Power, Works and Housing, Federal Ministry of Science and Technology, Energy Commission of Nigeria (ECN), the organized private sector (OPS), civil society organizations (CSOs) and other stakeholders including State Governments to develop climate resilient and green industries.

The following two components will be developed under this thematic priority area of the Country Programme.

Component 8: Sustainable Energy development The focus here is to promote energy efficiency and renewable energy development to support inclusive and sustainable industrial development. This will entail devoting considerable attention to scaling up previous efforts in small hydro power and bioenergy and breaking new grounds in wind and solar through awareness raising, support to develop policy and regulatory frameworks, capacity building, technology transfer and enhancing

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private sector participation in the sector. This effort will create energy infrastructure, as an enabler for industrialization, and help to safeguard the environment.

• Small hydro power development: Having designed and implemented a small hydro power (SHP) projects and built local capacity for turbines manufacturing in Nigeria already, UNIDO will provide support to consolidate and sustain its success story in this sector and launch into new frontiers in SHP development in the country. Accordingly, UNIDO’s support will be targeted at strengthening the human and institutional capacities of the Regional Centre for Small Hydro Power (RCSHP), upscale SHP capacity installations by strengthening the country’s capacity in design and implementation of SHP project as well as enhancing local capacity for turbines manufacturing. Within this framework, UNIDO will collaborate with relevant renewable energy institutions in the country including the Federal Ministry of Water Resources, Federal Ministry of Power, Energy Commission of Nigeria, Nigerian Electricity Regulatory Commission, Nigerian Bulk Electricity Trading (NBET), etc. to incorporate SHP into existing dams and other viable water bodies in the country.

• Bioenergy development: The bioenergy development component will focus on (i) leveraging abundantly available biomass resources especially agricultural residues to energy production; (ii) taking advantage of the immense agricultural potential, developing market for clean fuel such as bioethanol and methanol as alternative clean and affordable fuels for cooking in the country.Solar power development: With the huge potential for solar power development in Nigeria, UNIDO will support current efforts of the Government to promote solar energy. UNIDO’s support will take the form of capacity building for design, implementation, management and maintenance of solar power projects. UNIDO’s support will also include improving the policy and regulatory environment to spur more private sector investment in the sector.

• Wind power development: The prospects for wind power generation is not as dominant as other renewable energy sources in Nigeria. UNIDO will provide technical assistance for more exploratory activities for wind power generation during the life cycle of the Country Programme.

Component 9 Environmental management To tackle its environmental challenges, UNIDO will support Nigeria to improve the quality of its air, water and land resources, promote sound waste management and optimal use of resources for wealth creation. UNIDO’s support will also help Nigeria to effectively implement multilateral environmental agreements, trigger sustainable use of the country’s natural capital and develop its potential in ecotourism as well as help the country to adopt cleaner production methodologies. This will be achieved through development of policy and regulatory frameworks, strengthening national capacities for environmental management and developing techniques, practices and approaches to mitigate climate risks, reduce production of ozone depleting substances, promote resource use efficiency and green industries in manufacturing production.

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V) Country Programme Management Framework

V.1. ImplementationThe implementation of the Country Programme shall be in line with UNIDO’s Technical Cooperation Guidelines. A decentralised management structure with the support of UNIDO headquarters technical branches will be applied to implement the Country Programme. UNIDO Headquarter Branches working closely with National Programme Officers (NPOs) in the Nigeria Regional Office Hub (NROH) will be responsible for the technical content of components and projects within the Country Programme. The Field implementation of programmes as well as monitoring and evaluation will be managed by the NROH, Abuja in close collaboration with the Country Programme Steering Committee (CPSC) and the Programme Coordination Committees (PCCs). The UNIDO NROH will continue to facilitate programmes and projects implementation by contributing both technical and logistical inputs. The Country Programme will leverage the on-going decentralization to the field policy of UNIDO. In this respect and in order to respond to the recommendations of the Independent Evaluation of the previous Country Programme, the NROH in Abuja will work closely with UNIDO Headquarter colleagues in the implementation of the Country Programme using a proximity management approach.

V.1.1. Preliminary work planThe implementation of the Country Programme will be led by the NROH in close collaboration with the Country Programme Steering Committee and Programme Coordination Committees, in accordance with the management and coordination plan outlined above. The initiation phase will be instrumental for the detailed development and formulation of the Country Programme components and the respective projects/interventions, as well as the development of a detailed work plan, a funds mobilization strategy and a complete monitoring, reporting and evaluation plan. Table 1 outlines a detailed overview of outputs and activities envisaged for the initiation phase, and Table 2 presents a timeline of activities to be implemented during the initiation phase. Table 3 provides a preliminary work plan outlining the main phases and activities of the Country Programme after the completion of the initiation phase. The Country Programme work plan will be reviewed and detailed in the initiation phase of the Country Programme.

Table 1: Initiation phase – Outputs, activities and budget11

Output Activities Primary responsibility

Budget (in USD)

11The Budget for the initiation phase will be provided by the Government through the balance of funds remaining from the ongoing Country Programme.

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Output 1: Diagnostic study conducted and presented to steering committee

Finalize TORs for diagnostic study and clearly define scope and focus of the study

NROH with PMs at HQ and FMITI

100,000

Recruit national consultants

NROH

Finalize diagnostic study NROHHold inception workshop to present study

NROH and FMITI 30,000

Output 2: CP components and respective budget formulated

Based on diagnostic study, develop interventions and projects to be implemented under the nine CP components

PMs, NROH and FMITI, FMARD, FMEnv, FMST, FMPWH, States and Private Sector

120,000

Develop detailed CP budget

NROH -

Review and detail CP work plan

NROH -

Output 3: Projects prioritized, and detailed funds mobilization strategy developed

Identify which projects are going to be self-funded

NROH and FMITI -

Identify projects where funds mobilization has to take place

NROH and FMITI -

Work with government to identify potential funding sources

NROH and FMITI -

Develop detailed funds mobilization plan for unfunded projects

NROH and FMITI 5,000

Develop CP advocacy plan

NROH and FMITI 3,000

Conduct funds mobilization

NROH and FMITI 20,000

Output 4: Detailed monitoring, reporting and evaluation plan put in place

Based on diagnostic study, identify baseline data

NROH -

Develop reporting templates and detailed reporting plan for CP projects

NROH and FMITI -

Finalize detailed monitoring plan for presentation and approval by the steering

NROH and FMITI -

31

committeeDevelop detailed indicators for each project implemented under the CP (these indicators will feed into the overall CP monitoring framework)

PMs, NROH -

Total 278,000

32

Table 2: Initiation phase – timeline of activitiesOutput/ Activity Week 1- 24 of the initiation phase

Month 1 Month 2 Month 3 Month 4 Month 5 Month 6Output 1Finalize TORs for study xRecruit consultants xConduct diagnostic study x x x x x x x xFinalize diagnostic study xHold inception workshop xOutput 2Develop projects x x xDevelop detailed CP budget x xDevelop detailed work plan x xOutput 3Prioritize projects xIdentify funding sources x xDevelop funds mob. plan x xDevelop advocacy plan x xFunds mobilization x x x x x xOutput 4Identify baseline data x xDevelop reporting templates x xDevelop reporting plan x xFinalize monitoring plan x xDevelop project indicators x x

Table 3: Preliminary Work Plan for implementation and completion phase 12

Activities Roles and responsibilities TimelineIm

plem

enta

tion

phas

e

Implementation of CP components and respective projects

NROH and UNIDO Project Managers, CPSC, PCC, Donors review

Q4 2018 – Q4 2022

Regular monitoring and reporting according to CP M&E plan (including mid-term review)

NROH and UNIDO Project Managers, CPSC, PCC, Donors review

Q4 2018 – Q4 2022

Biannual CP Steering Committee meetings FMITI and NROH Two times a year

Annual Programme Review meeting FMITI, NROH, CPSC, PCCs and Project Managers

Once a year

Implementation of CP funds mobilization plan

FMITI, NROH and UNIDO Project Managers

Q3 2018 – Q4 2022

Implementation of CP advocacy plan NROH and UNIDO Project Managers

Q3 2018 – Q4 2022

Regular coordination with UN partners in the framework of the UNSDPF and beyond

NROH Q3 2018 – Q4 2022

Com

plet

ion

phas

e

Final CP report NROH with inputs from UNIDO Project Managers and CPSC&PCC

Q3+4 2022

Independent end of project evaluation ODG/EIO/IED, NROH, FMITI

Q3 2022

Advocacy and awareness of CP success and achievements

NROH, EPR/ETR/AMR

Q2+4 2022

V.2 Coordination The UNIDO Country Programme coordination is vested in the Country Programme Steering Committee (CPSC) and Programme Coordination Committees (PCCs). These committees and their terms of reference are as below.

Country Programme Steering Committee (CPSC) The overall coordination and policy direction for the management and implementation of the Country Programme shall be the responsibility of the Country Programme Steering Committee (CPSC), which will be chaired by the Federal Ministry of Industry, Trade and

12 This work plan will be further developed and detailed during the inception phase of the Country Programme

Investment. The CPSC will be the apex body in the Country Programme coordination arrangements and will ensure that the thrust of the Country Programme continues to be relevant to the country’s development needs and priorities. Membership of the CPSC will be drawn from FMITI, MBNP, FMF, FMEnv, FMPWH, FMARD, FMST, FMWR, ECN, MAN, NACCIMA, NASME, NASSI and UNIDO. The Steering Committee shall meet twice a year. The FMITI in coordination with UNIDO will be responsible for calling for and organizing the meetings. The Secretariat of the CPSC will be in FMITI.

The Terms of Reference (ToR) for the CPSC are as follows: Review of programme work plans and reports; Organize fund-raising/resource mobilization activities for the Country Programme; Overall coordination of the Country Programme and its programmes; Overall monitoring of the Country Programme; Identify opportunities for linkages and synergies between programme components

and that ensure these are pursued; Periodically assess the impact of the Country Programme and decide on necessary

measures to ensure its continued effectiveness and relevance to national needs and priorities;

Review and approve proposals and recommendations on technical amendments to programme components; implementation modalities and strategies; and

The CPSC shall meet twice annually and may meet in-between if the need arises.

Programme Coordination Committees (PCCs) The coordination of components under the three thematic areas of the Country Programme 2018-2022 will be undertaken by the Programme Coordination Committees (PCCs) which will be responsible to the CPSC. Each of the three PCCs shall coordinate its programme activities. The Federal Ministry of Industry, Trade and Investment (FMITI) will chair the meetings of the PCC for Theme A on Creating Shared Prosperity in view of the thrust of the components under this theme and members of the PCC will be drawn from participating institutions, agencies and associations such as NEPZA, NIPC, BOI, NEPC, FMARD, NBS, FMMSD, FMST, RMRDC, MAN, LCCI, NACCIMA, NASME, NASSI, UNIDO and other public and private sector members that may be incorporated on need basis.

The PCC for Theme B on Advancing Economic Competitiveness will also be chaired by FMITI and members will be drawn from Federal Ministries, Departments and Agencies and associations including SON, NEPC, NIPC, the OPS, UNIDO and other relevant organizations that may be co-opted on need basis.

The PIC for Theme C on Safeguarding the Environment will be co-chaired by the Federal Ministry of Power, Works and Housing (FMPWH) and the Federal Ministry of Environment (FMEnv) while members of the committee shall comprise representatives of the FMWR, FMST, ECN, RMRDC, NARICT, MAN and UNIDO. Membership of the PIC for Theme C may be expanded as the need arises. The terms of reference for the Programme Coordination Committees are as follows:

Responsible to the Country Programme Steering committee; Responsible for coordinating the respective programmes under the thematic areas; Review of work plans and reports;

35

Identify opportunities for linkages and synergies between programme components and that ensure these are pursued;

Propose technical amendments to programme components, if necessary, to the Steering Committee with recommendations and improvements;

Contribute to funds mobilization and management of their respective thematic areas; and

The PICs shall meet twice a year but may meet in-between if the situation so demands.

V.3 Monitoring, Reporting and EvaluationThe Country Programme and all its components will be subjected to monitoring and evaluation processes in line with prevailing UNIDO policies and procedures. The following section describes planned measures to ensure thorough monitoring and evaluation throughout Country Programme implementation and identifies key roles and responsibilities. An overview of the preliminary monitoring and evaluation plan including an indicative budget can be found below, which will serve as the basis for a more detailed monitoring and evaluation plan which will be developed during the Country Programme initiation phase and will include concrete timelines.

CP Initiation phaseDuring the initiation phase of the Country Programme, a diagnostic study will be conducted to collect baseline data and guide further programming activities aimed at narrowing the scope of the proposed Country Programme components and determining concrete project activities. The established baseline data will allow for solid monitoring and reporting of Country Programme results throughout the project implementation and completion phase.

An inception workshop will be held at the end of the Country Programme initiation phase, which will represent an opportunity to present the diagnostic study including the collected baseline data and develop work plans to guide the detailed development as well as the implementation of the components and corresponding projects.

During the initiation phase, NROH will further develop a detailed monitoring plan that lays out a time schedule for reporting and PCC/CPSC meetings, and clearly identifies roles and responsibilities. The monitoring plan will be reviewed and approved by the steering committee. It will be regularly reviewed by NROH throughout implementation and any necessary adaptations will be presented to the steering committee for approval.

The projects implemented under each Country Programme component will develop their own project RBM frameworks that work towards the overall objective of the Country Programme. Project Managers will prepare regular project progress reports, detailing achievements, problems and constraints emerging over the reporting period, and recommendations for correcting them, plus a work plan for the following period. To that end, standard reporting templates will be developed in the initiation phase to standardize progress reports from Project Managers to the NROH and ensure adequate results reporting towards overall Country Programme goals and objectives.

36

CP Implementation phaseDay-to-day monitoring of Country Programme activities will be managed by the NROH, in close collaboration with relevant teams at UNIDO HQ. This will include regular monitoring missions to project sites as well as close coordination with TC teams implementing projects in the framework of the Country Programme. Managers of projects implemented in the framework of the Country Programme will provide regular progress reports to the NROH, following standardized reporting templates.

The biannual Country Programme steering committee meeting will allow for close coordination with key national stakeholders in the continuous monitoring of Country Programme implementation. At these meetings, NROH will present progress under each of the Country Programme components and raise any issues of concern/decision points for the attention of the CPSC. This will allow for corrective and preventive actions at programme and project-level, if necessary.

Once a year, an annual programme review meeting will be convened by NROH, to bring together CPSC, PCCs, NROH and project managers to take stock of progress and develop/finalize annual Country Programme work plans.

The NROH will be responsible to submit annual comprehensive Country Programme progress reports, based on inputs from UNIDO Project Managers as well as the findings of the annual programme review meeting. These reports will analyze progress towards the established targets in the results framework and indicate ways in which the Country Programme work plan can be adjusted in cases where progress is delayed. A preliminary draft of the annual comprehensive Country Programme progress report will be made available at the annual programme review meeting, for comments and inputs from stakeholders, and the annual Country Programme progress report will then be finalized with any inputs of the meeting.

In line with relevant UNIDO guidelines an external mid-term review will be led and conducted by UNIDO HQ in close coordination with NROH, the Government and other partners, to assess progress against the Country Programme work plan and RBM framework. The mid-term evaluation will highlight achievements as well as shortcomings of Country Programme implementation and identify corrective measures for the consideration of the PCCs and CPSC.

CP Completion phase At least one month before the end of Country Programme implementation a comprehensive final programme report will be completed, to be shared with partners and donors. The drafting of the final programme report will be led by the NROH, in close coordination with UNIDO HQ and UNIDO Project Managers, and inputs from national stakeholders. The final programme report will assess and verify achievements according to the Country Programme results framework, identify shortcomings and gaps in achievements of the Country Programme while also taking stock of the results of project-specific evaluations and monitoring and reporting activities.

37

After the completion of the Country Programme, an independent end-of-programme evaluation will be conducted to assess relevance, ownership, efficiency, effectiveness, impact and sustainability of the Programme. It will further verify the Country Programme achievements against the Country Programme results framework and baseline data collected in the initiation phase and identify any gaps and shortcomings, as well as lessons learned, recommendations and opportunities.

Table 4: Preliminary Monitoring and Evaluation Work planType of M&E activity Responsible Parties Time frame Indicative

budget (USD)

Initi

atio

n ph

ase

Conduct diagnostic study NROH First 2 months after

CP launch100,000

Hold inception workshop NROH, FMITI Within first 6

months of CP launch30,000

Formulate projects/interventions

PMs, NROH and FMITI, FMARD, FMEnv, FMST, FMPWH, States and Private Sector

After third month of CP launch

120,000

Prioritize projects and develop funds mobilization strategy

NROH and FMITI After fourth month of CP launch

28,000

Finalize detailed monitoring plan NROH n/a

Impl

emen

tatio

n ph

ase

Regular project progress reports

UNIDO Project Managers

Continuous, every 6 months

n/a

Regular monitoring missions to project sites

NROH, UNIDO project managers and programme/project counterparts

Continuous

250,000

CP Steering committee meeting

NROH, CPSC, PCCs and if needed project managers

Every 6 months, with the second meeting coinciding with the annual programme review, or whenever an urgent and important decision needs approval of the Steering Committee

150,000

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Type of M&E activity Responsible Parties Time frame Indicative budget (USD)

Annual programme review meeting to assess programme progress and performance

NROH, PMs, PCCs and CPSC to review the programme performance and make corrective decision

Annually prior to the finalization of APR and to the development of annual programme work plans

100,000

Annual comprehensive CP progress reports

NROH with inputs from UNIDO Project Managers, as well as findings from the annual programme review meeting

Every 12 months

n/a

Mid-term review

NROH, PMs, external consultants, CPSC, PCCs

Mid of CP implementation

50,000

Com

plet

ion

phas

e Final programme report

NROH, PMs, CPSC, PCCs, Independent External Evaluators

Drafting to start at least one month before the end of the Programme; final report to be available at the end of CP implementation

80,000

Independent end-of-programme evaluation

External Consultants after consultation with NROH, PMs, CPSC, PCCs

End of Programme

150,000

Total estimated budget 1,058,000

39

Type of M&E activity Responsible Parties Time frame Indicative budget (USD)

40

V.4. RisksThere are likely risks on the path of the Country Programme 2018-2022. The risks and the level of severity of the risks with measures that have been put in place for mitigation are presented in Table 5.

Table 5: Risks and mitigation measuresRisk Type Description Level Mitigation Measures

Eco

nom

ic

Dwindling Government revenue arising from fluctuations in the price of crude oil in international market and inability of Government to pay counterpart contribution

Low Price may not decline lower than experienced before recession and CP was formulated based on the ERGP projections. The prioritized sectors in the ERGP should reduce Nigeria’s dependence on crude oil both for revenue and foreign exchange earnings.

Dwindling resources of donors and other development partners with implications for reduced funding support to the Government of Nigeria and UNIDO

Low The CP was formulated with an expanded partnership and resource mobilization in view. The CP will leverage on existing traditional funding sources and explore new grounds.

Part

ners

hip

Breakdown in collaborative arrangements with government and private sector counterparts

Low The CP was demanded by the counterparts in view of the value that UNIDO brings to the table. The collaboration will likely get stronger especially with further openings available with States and the private sector.

Polit

ical

Change in government at the center and abandonment of thrusts of the current administration without commitment to CP implementation

Low The scorecard of current administration shows progress towards achievement of the plan of the Government and the Nigerian people may be willing to re-elect the ruling party for another term in 2019. The CP formulation involved technocrats from key government Ministries, Departments and Agencies who remain in office irrespective of the ruling party.

Secu

rity

Unstable security situation in the country arising from a number of sources including activities of Boko Haram, herdsmen, kidnapping, armed robbery, etc.

Low to medium

The CP implementation will latch on the Federal, State and UN security architecture in the country during CP implementation. Security issues are predominantly within some isolated areas.

Com

petit

ors Rising number of other

competing institutions, local and international, attempting to operate in Nigeria’s industrial space

Low UNIDO’s stands out and the agency’s capability is not in doubt. UNIDO will leverage on its long years of experience and efficiency in promoting ISID in Nigeria.

41

V.5. Legal ContextThe Country Programme 2018-2022 is governed by the provisions of the Standard Basic Cooperation Agreement between the Federal Republic of Nigeria and UNIDO signed and entered into force on 5 November 1992.

VI) Budgeting and Fund Mobilization StrategyThe Country Programme (2018-2022) has a provisional budget of US$ 56.5 Million, which will be mobilized over the full duration of the Country Programme (2018-2022). The entire budget is shared over the nine Programme components and management, monitoring and evaluation including programme support cost. The Federal Government of Nigeria assumes the responsibility of mobilizing funds for the implementation of the Country Programme, and UNIDO will support the Government in this effort. The budget will be subjected to review during implementation depending on actual realities in the country. The indicative budget table is contained in Annex 3.

VI.1. Funds mobilization strategyThe total budget for the Country Programme 2018-2022 is USD56,500,000 (Fifty-Six Million Five Hundred Thousand United States Dollars). In recognition of the fact that UNIDO is not a donor agency but provides technical assistance, the total Country Programme budget shall be provided by the Federal Government of Nigeria. However, UNIDO will support the Government in the effort of funds mobilization. To that end, in closer cooperation with the Government bodies, NROH is developing an expanded fundraising and partnership strategy aiming to forge new partnerships to support the Government fundraising efforts for the Country Programme implementation. This exercise will allow to develop detailed resource mobilization strategy plans related to the prioritization and sequencing of Country Programme components in accordance with the government industrial priorities and availability of funding.

The following key components will be included in the funds mobilization strategy:

State and local governments: Given that industrial development actually takes place at the state and local government levels, UNIDO will enter into a Trust Fund Agreement with State Governments that are ready and willing to collaborate. This will bring some counterpart contribution from States for Country Programme implementation.

Donor Round Tables: In addition to counterpart contribution from Federal and State Governments, UNIDO will facilitate and coordinate with the Government and other stakeholders the process of organizing Donor Round Table (DRT) meetings to mobilize funding for the Country Programme. This will benefit from existing relationship UNIDO has developed including with bilateral and multilaterals donors as well as with Financial Institutions such as the World Bank, Africa Development Bank Afrexim Bank among others. The DRT will complement some envisaged resources expected from the Global Environment Facility (GEF), Green Climate Fund (GCF), the Montreal Protocol (MP) and other multilateral and bilateral institutions especially for energy and environment-related programmes.

42

Private Sector: Additional resources will be mobilized from the private sector in support of the productive capacity strengthening, value addition and employment generation.

Joint UN funds mobilization: Furthermore, joint resource mobilization will be undertaken with other UN agencies for activities implemented under the UNSDPF which life cycle currently aligns with the Country Programme.

Overall, the Federal Government of Nigeria shall make counterpart contribution of half of the Country Programme budget of USD28,250,000 (Twenty-Eight Million Two Hundred and Fifty Thousand United States Dollars) to UNIDO. UNIDO will support the Government in the mobilization of the outstanding balance, in close collaboration with all stakeholders.

VI.2. Potential donors and development partnersThe possible sources of funding are provided in Table 5. Other sources will be explored during the Country Programme implementation.

Table 5: Potential donors

Potential Donor/ Source of Funding

Commitment - $ (million) 2018 - 2022

Level of preference

Areas of focus/ Comment

MultilateralsWorld Bank 4892.5 High WB is rated high for collaboration with UNIDO. The Bank

in its ongoing and future program plans to promote diversified growth and job creation by reforming the power sector, enhancing agricultural productivity, and increasing access to finance; improving the efficiency of social service delivery at the state level; and strengthening governance and public-sector management. The current Country Partnership Strategy (CPS) of the Bank ended in 2017, but it is being revised to extend till 2020 with additional funding.

AfDB 1300.00 High AfDB, a regional IFI for Africa, is fully established in Nigeria. AfDB is involved in financial, economic and development activities. UNIDO can benefit funding from the bank in the areas of energy, agro-processing, entrepreneurship training and job creation. The IFI has a huge amount for renewable energy where UNIDO has some comparative advantage.

European Union

223.56 High The EU is a traditional partner of UNIDO. The areas of intervention of the EU are aligned with the ISID mandate of UNIDO especially in the areas of solar power, small hydro plants, entrepreneurship training and competitiveness.

ECOWAS 60.00 Medium ECOWAS supports the economic and political development of its member states. ECOWAS is willing to partner with

43

UNIDO in a number of areas including entrepreneurship training and industrial parks development.

AFD 509.60 High AFD is active in the energy sector, capacity building and entrepreneurship training plus financial literacy training.

GEF 6.80 High A tradition source of funding for UNIDO in the areas of renewable energy and environment.

BilateralChina 500.00 High The People’s Republic of China and the Government of

Nigeria signed a bilateral agreement in 1972. UNIDO can benefit from funding support from Government of China for solar energy and industrial parks development. China is an important bilateral partner that UNIDO could depend on for the realization of its mandate ISID.

International NGOs and FoundationsBill & Melinda Gates Foundation

336.22 High The Bill and Melinda Gates Foundation is currently involved in inclusive economic development at the Federal and State levels. UNIDO can tap into its resources for ISID implementation in Nigeria.

Private sectorChevron 90.00 Medium Chevron engages in Corporate Social Responsibilities

(CSR) especially to its host communities. Their interest often covers agricultural value chain.

Shell 100.00 Medium Shell engages in Corporate Social Responsibilities (CSR) and its interest covers inclusive rural development, agricultural value chains and renewable energy.

Hewlet Parcard (HP)

0.30 High UNIDO has a rich experience in partnering with HP on entrepreneurship training and enterprise creation in young people.

Dangote Group

2.00 High Dangote Group is one of the captains of industry in Nigeria. UNIDO could partner with them in a number of areas.

Manufacturers Association of Nigeria (MAN)

High MAN is the umbrella association for manufacturers in Nigeria. MAN was established to promote in close cooperation with its members, other organs of the Organized Private Sector (OPS), the Government and other stakeholders, an enabling environment for industrial development, growth and prosperity of the society at large.

NACCIMA High The Nigerian Association of Chambers of Commerce, Industry, Mines and Agriculture (NACCIMA) is the umbrella organization for all the various affiliate member chambers in the country.

NASME The Nigerian Association of Small and Medium Enterprises (NASME) coordinates and fosters the promotion of MSMEs in Nigeria.

NASSI The National Association of Small Scale Industrialists (NASSI) is involved in creating wealth through industry in an environmental friendly manner.

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Annex es

I) Theory of change

The Country Programme addresses key challenges faced by the Nigerian industrial landscape, including lack of clear policies on industry, trade and investment; existence of a large pool of informal and undeveloped micro enterprises; lack of functional industrial, trade and investment database; lack of economic diversification; unfavourable business environment; weak national quality infrastructure for trade; poor energy access and high cost of manufacturing production; and environmental degradation and climate change issues. The implementation of the Country Programme will support the Nigerian Government in tackling these issues and unlocking the country’s potential for inclusive and sustainable industrial development.

Figure 2: Theory of Change - transition to economic growth and diversification through ISID

The theory of change is based on the premise that if clear and coherent industrial policy frameworks are in place, and are based on relevant and reliable industrial data; if the value addition and productivity in the agroindustry and agribusiness sectors are strengthened; if

45

the full potential of Nigeria’s minerals and metals sector is harnessed; if Nigeria’s private sector produces competitive, high-quality goods and services that access local and international markets; if Nigeria’s MSME sector grows and expands through improved capacity, skills, financing and market access; if Nigeria is able to leverage SEZs and industrial parks for private sector development and strengthening of manufacturing production; if Nigeria leverages innovation, science and technology for enhanced industrial manufacturing; if Nigeria has increased access to sustainable, reliable and affordable power supply through tapping its renewable energy sources; and if Nigeria implements cleaner production, waste management and delivers on multilateral environmental agreements; – then Nigeria will achieve economic growth and diversification through inclusive and sustainable industrialization, in line with national priorities and SDG9.

The transformational logic of the Country Programme takes into account the importance of synergies between interventions, across programme components and priority areas, as well as close linkages with other actors and initiatives in the respective fields. Only by fostering and enabling exchange, coherence and synergies, results can be maximized and the programme will be able to successfully deliver on the expected impact.

The assumptions identified in the results framework are also an important aspect of the theory of change. These assumptions will be tested and reevaluated throughout programme implementation, to be able to react to eventual changes in the basic conditions in which the programme is set and allow for redirection in line with new requirements.

A number of preconditions will also have to be met in order for the theory of change to fall into place. These include amongst others the ownership of the government and maintenance of political will; the capacity of the government to deliver; the willingness of other partners and key stakeholders to collaborate; etc. These preconditions will be identified in more detail during the initiation phase of the programme and will be reevaluated and assessed regularly during programme implementation.

The logic of the programme is therefore that the proposed interventions will result in the achievement of the nine identified outcomes, contributing to the three thematic priority areas. The combined outcomes will together induce the overall intended impact of the programme, should the identified assumptions hold and preconditions be met.

46

Synergies, linkages and complementarities between CP components, national strategies and the UNSDPF UNIDO CP 2018-2022

Synergies with other CP components National strategies UNSDPF

Component 1: Nigeria’s industrial sector benefits from a clear and coherent policy framework that is based on relevant and reliable industrial data.

Component 1 is directly linked to all other components since policy direction is required to drive industrial development and data is required for planning and informed decision making. However, synergies will be developed with components 4 and 5 in particular, as policy and regulatory frameworks are crucial for trade promotion and facilitation as well as MSME growth and development.

Nigeria Vision 20:2020Directly:Pillar 1: Guaranteeing the Productivity & Wellbeing of Our PeoplePillar 2: optimizing the key sources of economic growthPillar 3: fostering sustainable social and economic development

ERGP 2017-2020Directly:(1) restoring growth(2) investing in our people, and(3) building a globally competitive economy.

NIRPDirectly:4.0 Agribusiness and Agro Allied Manufacturing5.0 Metals and Solid Minerals Processing6.0 Oil & Gas Related Industrial Activities7.0 Construction, Light Manufacturing, and Services

Indirectly: 8.1 Infrastructure 8.2 Skills 8.3 Innovation 8.4 Investment Climate 8.5 Standards 8.6 Local Patronage 8.7 Finance

Component 1 of the CP is in line with outcome 7 of results area 3 of the UNSDPF, which aims at achieving inclusive diversified economic growth. Under this outcome, output 7.1 highlights the strengthening of institutional capacities at the national and sub-national levels; while output 7.2 directly refers to the development of policies and strategies for private sector development to boost sectoral growth and productivity.

Component 2: Nigeria’s agroindustry and agribusiness benefit from value addition and increased productivity, creating employment opportunities

Taking as a primary entry point the processing of agricultural commodities, synergies and complementarities will be fostered with activities implemented under components 8 and 9, as cleaner production and energy efficiency will be beneficial to the development of

Nigeria Vision 20:2020Directly:Pillar 2: optimizing the key sources of economic growthIndirectly:Pillar 1: Guaranteeing the Productivity & Wellbeing of Our PeoplePillar 3: fostering sustainable

Component 2 of the CP is in line with outcome 7 of the results area 3 of the UNSDPF, which aims at achieving inclusive diversified economic growth. Under this outcome, output 3 refers directly to the creation of economic opportunities for youth and

47

agribusinesses. Furthermore, component 2 is directly linked to component 6 since Integrated Agro Industrial Parks (IAIP) are a type of special economic zone.

social and economic development

ERGP 2017-2020Directly:(1) restoring growthIndirectly: (2) investing in our people, and(3) building a globally competitive economy.

NIRPDirectly:4.0 Agribusiness and Agro Allied Manufacturing Indirectly:8.1 Infrastructure 8.2 Skills 8.3 Innovation 8.4 Investment Climate 8.5 Standards 8.6 Local Patronage 8.7 Finance

women as well as the increase of sectoral labour productivity growth.

Component 3: Nigeria’s minerals and metals sector contributes a greater share to Nigeria’s Gross Domestic Product (GDP)

Considering the high-energy intensity of ore and metal processing, as well as the environmental dimensions, synergies will be fostered with CP components 8 and 9, by promoting environmental sustainability, sustainable energy development/energy efficiency in the mining sector.

Nigeria Vision 20:2020Directly:Pillar 1: Guaranteeing the Productivity & Wellbeing of Our PeopleIndirectly:Pillar 2: optimizing the key sources of economic growthPillar 3: fostering sustainable social and economic development

ERGP 2017-2020Directly:(1) restoring growthIndirectly: (2) investing in our people, and(3) building a globally competitive economy.NIRPDirectly:5.0 Metals and Solid Minerals ProcessingIndirectly:8.1 Infrastructure 8.2 Skills 8.3 Innovation 8.4 Investment Climate

Component 3 of the CP is in line with outcome 7 of results area 3 of the UNSDPF, which aims at achieving inclusive diversified economic growth. Thereunder, output 7.1 directly refers to the strengthening of human and institutional capacities for increased sectoral contribution to economic growth, including solid minerals.

48

8.5 Standards 8.6 Local Patronage 8.7 Finance

Component 4: Nigeria’s private sector produces competitive, high-quality goods and services that access local and international markets

Strong linkages will be pursued with CP component 1, as the development of policy and regulatory frameworks has the potential to foster the promotion and facilitation of trade. Component 4 is also directly linked to component 5 on MSME development as it directly contributes to manufacturing and industrial production.

Nigeria Vision 20:2020Indirectly:Pillar 1: Guaranteeing the Productivity & Wellbeing of Our PeoplePillar 2: optimizing the key sources of economic growthPillar 3: fostering sustainable social and economic development

ERGP 2017-2020Directly: (3) building a globally competitive economy.Indirectly:(1) restoring growth

NIRPDirectly:4.0 Agribusiness and Agro Allied Manufacturing5.0 Metals and Solid Minerals Processing6.0 Oil & Gas Related Industrial Activities7.0 Construction, Light Manufacturing, and Services

Component 4 of the CP is in line with outcome 7 of results area 3 of the UNSDPF, which aims at achieving inclusive diversified economic growth. Thereunder, output 7.1 refers to the strengthening of human and institutional capacities for increased sectoral contribution to economic growth. This CP component will further contribute to output 7.2, which refers to the development of policies and strategies for private sector development.

Component 5: Nigeria’s MSME sector has grown and expanded through improved capacity, skills, financing and market access, thus contributing to economic growth and jobs creation

Activities implemented under this CP component will particularly benefit from synergies and linkages with activities implemented under component 7, as the fostering of science, technology and innovation for industrial growth will benefit MSMEs, for example through the introduction of appropriate and modern technologies to enhance productivity and efficiency of MSMEs for optimal operational performance. The achievement of component 5 is also highly dependent on achievements under component 1 on conducive policy frameworks and reliable data.

Nigeria Vision 20:2020Directly:Pillar 1: Guaranteeing the Productivity & Wellbeing of Our PeoplePillar 2: optimizing the key sources of economic growthIndirectly:Pillar 3: fostering sustainable social and economic development

ERGP 2017-2020Directly:(1) restoring growthIndirectly: (2) investing in our people, and(3) building a globally competitive economy.

Component 5 of the CP is in line with outcome 7 of results area 3 of the UNSDPF, which aims at achieving inclusive diversified economic growth. Thereunder, output 7.1 refers to the strengthening of human and institutional capacities for increased sectoral contribution to economic growth. The CP component 5 will also contribute to output 7.3 which refers to entrepreneurship and vocational skills programmes and the creation of economic opportunities for youth and women.

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NIRPDirectly:4.0 Agribusiness and Agro Allied Manufacturing8.1 Infrastructure 8.2 Skills 8.3 Innovation 8.4 Investment Climate 8.5 Standards 8.6 Local Patronage 8.7 Finance

Component 6: Nigeria leverages SEZs and industrial parks for private sector development and strengthening of manufacturing production

Synergies and linkages with components 8 and 9 will be pursued, as SEZs and industrial parks will benefit from renewable energy development, zero discharge treatment plants and other environmental management mechanisms. Furthermore component 6 is directly linked to component 2, since Integrated Agro Industrial Parks (IAIP) are a type of special economic zone.

Nigeria Vision 20:2020Directly:Pillar 2: optimizing the key sources of economic growthIndirectly:Pillar 1: Guaranteeing the Productivity & Wellbeing of Our PeoplePillar 3: fostering sustainable social and economic development

ERGP 2017-2020Directly:(1) restoring growthIndirectly: (2) investing in our people, and(3) building a globally competitive economy.

NIRPDirectly:4.0 Agribusiness and Agro Allied Manufacturing8.1 Infrastructure 8.4 Investment Climate 8.7 Finance

Component 6 of the CP is in line with outcome 7 of results area 3 of the UNSDPF, which aims at achieving inclusive diversified economic growth. Specifically, CP component 6 will contribute to UNSDPF output 7.2 that aims at the development of policies and strategies for infrastructural and private sector development.

Component 7: Nigeria leverages innovation, science and technology for enhanced industrial manufacturing

Synergies will be pursued across CP components, including in particular component 2 on agribusiness development, component 5 on MSME growth and development, as well as components 8 and 9 considering the potential of innovation, science and technology to contribute to renewable energy development, sustainable

Nigeria Vision 20:2020Directly:Pillar 2: optimizing the key sources of economic growthIndirectly:Pillar 1: Guaranteeing the Productivity & Wellbeing of Our PeoplePillar 3: fostering sustainable social and economic development

Component 7 of the CP is in line with outcome 7 of results area 3 of the UNSDPF, which aims at achieving inclusive diversified economic growth. UNSDPF output 7.2 speaks directly to the development of policies and strategies for infrastructural and private sector development, including science, technology and innovation to boost sectoral

50

production and the evolvement of green industries in Nigeria.

ERGP 2017-2020Directly:(1) restoring growthIndirectly: (2) investing in our people, and(3) building a globally competitive economy.

NIRPDirectly:4.0 Agribusiness and Agro Allied Manufacturing 5.0 Metals and Solid Minerals Processing6.0 Oil & Gas Related Industrial Activities 7.0 Construction, Light Manufacturing, and ServicesIndirectly:8.1 Infrastructure 8.2 Skills 8.3 Innovation 8.4 Investment Climate 8.5 Standards 8.6 Local Patronage 8.7 Finance

growth and productivity.

Component 8: Nigeria has increased access to sustainable, reliable and affordable power supply through increased renewable energy sources in total energy mix

As reliable energy supply remains a challenge for businesses across Nigeria, synergies will be pursued across CP components, in particular with CP components 2, 3 and 5.

Nigeria Vision 20:2020Directly:Pillar 1: Guaranteeing the Productivity & Wellbeing of Our PeoplePillar 2: optimizing the key sources of economic growthIndirectly:Pillar 3: fostering sustainable social and economic development

ERGP 2017-2020Directly:(1) restoring growthIndirectly: (3) building a globally competitive economy.

NIRPDirectly:4.0 Agribusiness and Agro Allied Manufacturing 5.0 Metals and Solid Minerals Processing

Component 8 of the CP is in line with both outcome 7 and outcome 9 of the UNSDPF, which aim at achieving environmental sustainability and food security, as well as environmental sustainability, climate resilience and food security. In particular, UNSDPF output 7.2 highlights clean energy, and output 9.1 addresses the development of human and institutional capacities strengthened to ensure sustainable environmental management.

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6.0 Oil & Gas Related Industrial Activities7.0 Construction, Light Manufacturing, and Services

Component 9: Cleaner production, waste management and the implementation of multilateral environmental agreements contribute to improved quality of air, water and land resources in Nigeria

Synergies will be pursued across CP components, but in particular with components 2,3,5 and 6, as environmental management will be beneficial to agribusiness development, the development of the mining and metals sector, MSME development, as well as the development of SEZs and industrial parks.

Nigeria Vision 20:2020Directly:Pillar 3: fostering sustainable social and economic developmentIndirectly:Pillar 1: Guaranteeing the Productivity & Wellbeing of Our People

ERGP 2017-2020Indirectly:(3) building a globally competitive economy.

NIRPDirectly:4.0 Agribusiness and Agro Allied Manufacturing 5.0 Metals and Solid Minerals Processing6.0 Oil & Gas Related Industrial Activities7.0 Construction, Light Manufacturing, and Services

Component 9 of the CP is in line with outcome 9 of the UNSDPF, which aims at achieving environmental sustainability and food security. In particular CP component 9 contributes to UNSDPF output 9.1 that aims to strengthen human and institutional capacities to ensure sustainable environmental management, as well as output 9.3 that aims to support the implementation of international protocols and conventions on environment.

II) Results Framework of the Nigeria Country Programme 2018-2022

This results framework outlines the planned outcomes under each of the nine components, describes the desired impact and identifies indicators and means of verification to monitor results, as well as assumptions that have to be in place in order to reach the planned outcomes. Under each outcome, a number of strategies have been identified that sketch potential UNIDO interventions and activities planned in order to achieve the outcomes. During the initiation phase of the Country Programme, detailed projects will be formulated under each outcome, representing concrete outputs and activities along the lines of the strategies identified below. For each project implemented under the framework of the Country Programme, detailed indicators will be developed during the course of project formulation, which will feed into the Country Programme monitoring framework, to make sure results are properly monitored and reported at all levels.

Area Intervention Indicators Means of Verification Assumptions

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Impact: Economic growth and diversification through inclusive and sustainable industrial development, in line with national priorities and SDG9.

–GDP growth–Share of

manufacturing in GDP

–Industrial competitiveness ranking

–Foreign direct investment, net inflows (% of GDP)

–National macro-economic statistics

–UNIDO competitive industrial performance index database

–World Bank database

–Positive global economic outlook

–Stable global trade policies

–Political stabilityNigeria

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ared

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ity

Component 1: Industrial governance, research and statistics Outcome 1: Nigeria’s industrial sector benefits from a clear and coherent policy framework that is based on relevant and reliable industrial data

–# of policies and strategies harmonized/ developed

–# of new laws legislated

–Industrial data base

–Government policy documents/bills/gazette laws

–Data base accessible

–Policy continuity–Counterpart

commitment

Strategy 1.1. Policies on industry, trade and investment: Support the development of clear policies at national and subnational level; promote harmonization of national and state policies; including by building on successful interventions implemented under the first UNIDO CP.

–# of projects developed, funded and implemented

–Approved project documents

–Signed funding agreements

–Project progress reports

–Availability of resources/ counterpart contribution

Strategy 1.2. Industrial research and statistics: Support research activities & statistical development; Develop industrial data base; Support the development of methodologies and industrial indicators; Foster national capacities for statistical data production and management.

–# of projects developed, funded and implemented

–Approved project documents

–Signed funding agreements

–Project progress reports

–Availability of resources/ counterpart contribution

Strategy 1.3. National capacity for ISID: Scale successful initiatives implemented under the first CP; Develop capacities of FMITI officers and select parastatal entities; Build capacities of organized private sector.

–# of projects developed, funded and implemented

–Approved project documents

–Signed funding agreements

–Project progress reports

–Availability of resources/ counterpart contribution

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Component 2: Agroindustry and agribusiness developmentOutcome 2: Nigeria’s agroindustry and agribusiness benefit from value addition and increased productivity, creating employment opportunities

–Share of jobs in the sector (age/sex disaggregated) at national/state level

–Share of sector in GDP

–Value of agro-processed commodities in select value chains

–% of agro-industrial investment in total FDI at national/state level

–Labour force statistics/surveys at national/state level

–NBS Annual Abstract of Statistics

–Central Bank of Nigeria statistics

–Willingness of agribusinesses to upgrade

–Commitment of beneficiaries

–Population interest in working in the sector

–Marketability of products

Strategy 2.1. Agro-value chains: Foster linkages between value chain actors; Implement quality standards; Develop supplies from primary producers; Foster marketing to local and external markets; Improve access to finance; Promote cleaner production and energy efficiency; build on the Staple Crop Processing Zone project implemented under the previous CP.

–# of projects developed, funded and implemented

–Approved project documents

–Signed funding agreements

–Project progress reports

–Availability of resources/ counterpart contribution

Component 3: Minerals and metals development Outcome 3: Nigeria’s minerals and metals sector contributes a greater share to Nigeria’s Gross Domestic Product (GDP)

–% increase in revenue from value-added mineral commodities through beneficiation in select states

–Share of sector in GDP

–% increase in revenue from value added mineral commodities in select states

–# of people employed in the

–FIRS Report –CBN Report–MMSD Report –Labour force

statistics/surveys at national/state level

–Stable global commodity prices

–Marketability of products

–Population interest in working in the sector

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sector (sex, age disaggregated) at national/state level

Strategy 3.1. Capacities for minerals and metal processing: Foster cluster development; Build capacities for solid mineral processing and beneficiation; Support the formalization of informal sector activities; Promote ceramic pottery industries; Promote artisanal and small-scale mining value chains; Promote environmental standards, sustainable energy development/energy efficiency in the sector; Support the establishment and maintenance of medium level geo-scientific/mineral engineering laboratories.

–# of projects developed, funded and implemented

–Approved project documents

–Signed funding agreements

–Project progress reports

–Availability of resources/ counterpart contribution

Adva

ncin

g ec

onom

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s

Component 4: Trade capacity building Outcome 4: Nigeria’s private sector produces competitive, high-quality goods and services that access local and international markets

–Volume of export at national/state level

–# of export limitations released

–NBS Annual Abstract of Statistics

–Trade summary reports

–Conducive international trade environment

–Positive global economy outlook

–Marketability of products and services

Strategy 4.1. Trade capacities: Provide technical support to deepen and consolidate previous UNIDO gains and ensure institutionalization of quality attributes into the country’s trade architecture; Support the ratification of the National Quality Policy, strengthen the National Metrology Institute (NMI) and the National Accreditation Body (NAB); Raise public awareness on consumer protection; Support the development of policy and regulatory frameworks; Develop Government capacities for trade negotiations; Build capacities of the private sector to produce high quality goods and services; Promote investment.

–# of projects developed, funded and implemented

–Approved project documents

–Signed funding agreements

–Project progress reports

–Availability of resources/ counterpart contribution

Component 5: Micro, small and medium enterprises development

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Outcome 5: Nigeria’s MSME sector has grown and expanded through improved capacity, skills, financing and market access, thus contributing to economic growth and jobs creation

–% of MSMEs contribution to GDP

–# of people employed in sector (sex, age disaggregated) at national/state level

–NBS Annual abstract of statistics

–Labour force statistics/surveys at national/state level

–Positive global economic outlook

–Availability of investment

–Conducive international trade environment

–MSME willingness to expand and growth their businesses

Strategy 5.1. Capacity for MSME growth: Building on previous UNIDO interventions, develop capacity for feasibility studies, business plans and project profiling for investment decisions; Foster access to finance; Develop an entrepreneurship curriculum and facilitate its implementation; Support vocational skills trainings and entrepreneurial development.

–# of projects developed, funded and implemented

–Approved project documents

–Signed funding agreements

–Project progress reports

–Availability of resources/ counterpart contribution

Strategy 5.2. Access to markets: Support the production of high quality, standard and accredited products in selected sectors.

–# of projects developed, funded and implemented

–Approved project documents

–Signed funding agreements

–Project progress reports

–Availability of resources/ counterpart contribution

Strategy 5.3. Technology and enterprise upgrading: Support upgrading of machinery and the introduction of appropriate and modern technologies.

–# of projects developed, funded and implemented

–Approved project documents

–Signed funding agreements

–Project progress reports

–Availability of resources/ counterpart contribution

Strategy 5.4. Infrastructure development: Convert existing industrial development centers across Nigeria into industrial clusters.

–# of projects developed, funded and implemented

–Approved project documents

–Signed funding agreements

–Project progress reports

–Availability of resources/ counterpart contribution

Component 6: Special economic zones (SEZs), industrial parks and private sector developmentOutcome 6: Nigeria leverages SEZs –# of SEZs and –Programme reports –Positive global

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and industrial parks for private sector development and strengthening of manufacturing production

industrial parks established

–% increase of investment in select SEZs

–FDI at national/state level

–Central Bank of Nigeria statistics

economic outlook–Conducive policy

environment–Interest from private

sector/availability of investments

Strategy 6.1. Feasibility studies and master plan: Conduct feasibility studies for decision making by investors; Develop master plans for the establishment of the SEZs.

–# of projects developed, funded and implemented

–Approved project documents

–Signed funding agreements

–Project progress reports

–Availability of resources/ counterpart contribution

Strategy 6.2. Model SEZs: Provide technical assistance for setting up model SEZs in the country; Develop managerial capability for the zones, renewable energy development, zero discharge treatment plants and other environmental management mechanisms.

–# of projects developed, funded and implemented

–Approved project documents

–Signed funding agreements

–Project progress reports

–Availability of resources/ counterpart contribution

Strategy 6.3. Investment promotion: In close collaboration with UNIDO ITPO, organize investment promotion meetings, seminars, conferences, fora and road shows within and outside Nigeria.

–# of projects developed, funded and implemented

–Approved project documents

–Signed funding agreements

–Project progress reports

–Availability of resources/ counterpart contribution

Strategy 6.4. Ease of doing business: Provide support to the Presidential Enabling Business Environment Council (PEBEC) and the Presidential Industrial Policy and Competitiveness Advisory Council (PIPCAC).

–# of projects developed, funded and implemented

–Approved project documents

–Signed funding agreements

–Project progress reports

–Availability of resources/ counterpart contribution

Strategy 6.5. Private sector development: Strengthen the capacity of the organized private sector to render more result-oriented services; Convene meetings with the organized private sector and the Government.

–# of projects developed, funded and implemented

–Approved project documents

–Signed funding agreements

–Project progress reports

–Availability of resources/ counterpart contribution

57

Component 7: Innovation, science and technology managementOutcome 7: Nigeria leverages innovation, science and technology for enhanced industrial manufacturing

–Strategies/systems for leveraging innovation, science and technology in industrial manufacturing

–State/government strategies

–Availability/accessibility of relevant technological solutions

–Availability of investment

Strategy 7.1 Innovation, science and technology for industrial development: Support the implementation of diagnostic and foresight activities; Develop a national system on innovation, mainstreaming technology and upgrading; Support access to global clean-tech innovation; Institute national innovation awards.

–# of projects developed, funded and implemented

– Approved project documents

–Signed funding agreements

–Project progress reports

–Availability of resources/ counterpart contribution

Safe

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ding

the

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ent

Component 8: Renewable energy development Outcome 8: Nigeria has increased access to sustainable, reliable and affordable power supply through increased renewable energy sources in total energy mix

–Renewable energy consumption (% of total final energy consumption) at national/state level

–$ private investment flow in renewable energy development

–% of solar/biomass/ SHP/wind in total energy mix at national/state level

–World Bank database–Ministry (RRD)

Progress Monitoring Report

–Counterpart commitment

–Private sector investment available

–Conducive policy/regulatory framework

Strategy 8.1. Small hydro power: Scale and consolidate achievements of previous UNIDO interventions; Strengthen the human and institutional capacities of the Regional Centre for Small Hydro Power (RCSHP); Strengthen capacity in design and implementation of SHP projects.

–# of projects developed, funded and implemented

–Approved project documents

–Signed funding agreements

–Project progress reports

–Availability of resources/ counterpart contribution

Strategy 8.2. Bioenergy: Build capacities to leverage biomass resources for energy production; Develop the market for clean fuel such as bioethanol and methanol.

–# of projects developed, funded and implemented

–Approved project documents

–Signed funding agreements

–Availability of resources/ counterpart contribution

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–Project progress reports

Strategy 8.3. Solar power: Build capacities for design, implementation, management and maintenance of solar power projects; Support the improvement of the policy and regulatory environment.

–# of projects developed, funded and implemented

–Approved project documents

–Signed funding agreements

–Project progress reports

–Availability of resources/ counterpart contribution

Strategy 8.4. Wind power: Provide technical assistance for exploratory activities for wind power generation.

–# of projects developed, funded and implemented

–Approved project documents

–Signed funding agreements

–Project progress reports

–Availability of resources/ counterpart contribution

Component 9: Environmental managementOutcome 9: Cleaner production, waste management and the implementation of multilateral environmental agreements contribute to improved quality of air, water and land resources in Nigeria

–Relevant environmental indicators

–# of reviewed and updated MEA implementation plans

–Validated periodic reports of air, water and land pollution assessment published on accredited platforms (e.g. GHG and U-POPs emission inventory data)

–Effectiveness evaluation reports as obligated by relevant MEA

–Policy continuity–Conducive

policy/regulatory framework

–Willingness of industries/businesses to apply environmental standards

Strategy 9.1. Environmental management and cleaner production: Support the development of policy and regulatory frameworks; Strengthen national capacities for environmental management; Support the effective implementation of multilateral environmental agreements; Promote sound waste management and resource optimization; Support the development of Nigeria’s ecotourism potential; Support the adoption of cleaner production methodologies.

–# of projects developed, funded and implemented

–Approved project documents

–Signed funding agreements

–Project progress reports

–Availability of resources/ counterpart contribution

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Component 10: Programme Management, Monitoring, Reporting and EvaluationOutcome 10: Effective and efficient CP management, monitoring, reporting and evaluation allow for successful implementation of the CP and timely achievement of its outcomes and objectives.

–Timely achievement of CP outcomes and objectives

–Annual CP progress reports

–Mid-term review –End-of-programme

evaluation

–Stakeholder and national partner ownership, commitment and willingness for continuous cooperation

–Continuity of programme team and steering committee membership

Strategy 10.1: Programme management, monitoring, reporting and self-evaluation: Ensure effective management of CP implementation; establish and implement a comprehensive, effective monitoring and reporting mechanisms for the CP and projects implemented in its framework; put measures in place for undertaking self-evaluation of the Country Programme; draft final programme report.

–Diagnostic study–#of project M&E

plans developed and implemented

–# of monitoring missions to project sites

–Integrated CP M, R&E plan developed

–CP steering committee meetings

–Annual CP review meetings

–Final CP report

–Diagnostic study presented to steering committee

–Approved project documents

–Project progress reports

–CP M, R&E plan approved by steering committee

–Annual CP progress reports

–Final CP report presented to steering committee and shared with counterparts and donors

–Availability of resources/ counterpart contribution

–Stability and safety in CP project sites

Strategy 10.2: Independent mid-term review and end-of-programme evaluation: Conduct an independent mid-term review of the Country Programme; and undertake an end-of-programme evaluation of the Country Programme.

–Mid-term review –Independent end-of-

programme evaluation

–Mid-term review presented to the steering committee

–End-of-programme evaluation submitted to counterparts and donors

–Availability of resources/ counterpart contribution

–Stakeholder willingness to work with evaluators and contribute to the mid-term-review and end-of-programme evaluation

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III) Indicative budget for the Country Programme 2018-2022

BL Description 2018 2019 2020 2021 2022

Outcome 1: Industrial governance, research and statistics

Output 1.1: Policies on industry, trade and investment11 International experts 5,000 25,000 25,000 20,000 5,000 15 Project travel 2,000 10,000 8,000 5,000 5,000 16 Staff travel 1,000 3,000 3,000 1,500 1,500 17 National experts & admin staff 25,000 75,000 50,000 50,000 50,000 21 Subcontracts 0 2,000 2,000 1,000 - 30 In-service training, conferences,

workshops 2,500 12,500 10,000 10,000 10,000 35 International Meetings 0 5,000 5,000 5,000 5,000 43 Premises 0 0 0 0 - 45 Equipment 0 15,000 10,000 5,000 - 51 Miscellaneous 5,000 5,000 5,000 5,000 5,000

Sub-Total Output :1.1 50,000 100,000 100,000 150,000 100,000 Output 1.2: Industrial research and statistics

11 International experts 10,000 60,000 50,000 40,000 40,000 15 Project travel 5,000 15,000 15,000 10,000 5,000 16 Staff travel 2,000 10,000 8,000 5,000 5,000 17 National experts & admin staff 30,000 100,000 80,000 70,000 70,000 21 Subcontracts 10,000 50,000 40,000 40,000 10,000 30 In-service training, conferences,

workshops 10,000 10,000 10,000 10,000 10,000 35 International Meetings 5,000 10,000 10,000 10,000 5,000

61

43 Premises 5,000 - - - - 45 Equipment 10,000 40,000 20,000 5,000 - 51 Miscellaneous 10,000 10,000 10,000 10,000 10,000

Sub-Total Output: 1.2 97,000 305,000 243,000 200,000 155,000 Output 1.3: National capacity for ISID

11 International experts 10,000 20,000 20,000 20,000 5,000 15 Project travel 10,000 10,000 10,000 10,000 10,000 16 Staff travel 2,000 8,000 10,000 7,000 3,000 17 National experts & admin staff 10,000 10,000 10,000 10,000 10,000 21 Subcontracts 0 10,000 10,000 0 - 30 In-service training, conferences,

workshops 20,000 30,000 20,000 25,000 5,000 35 International Meetings 5,000 15,000 10,000 10,000 5,000 43 Premises 6,000 6,000 6,000 6,000 6,000 45 Equipment 15,000 50,000 10,000 - - 51 Miscellaneous 5,000 5,000 5,000 5,000 5,000

Sub-Total Output: 1.3 83,000 164,000 111,000 93,000 49,000 Sub-Total Outcome 1

230,000 569,000 454,000 443,000 304,000 Outcome 2: Agroindustry and agribusiness development

Output 2: Agro-value chains 11 International experts

30,000 80,000 70,000 50,000 20,000 15 Project travel

10,000 20,000 20,000 20,000 10,000 16 Staff travel

5,000 10,000 15,000 10,000 10,000 17 National experts & admin staff

30,000 100,000 100,000 100,000 70,000 21 Subcontracts

20,000 100,000 100,000 80,000 20,000 30 In-service training, conferences,

workshops 20,000 60,000 60,000 40,000 20,000 35 International Meetings

30,000 50,000 40,000 20,000 10,000 43 Premises

20,000 20,000 20,000 20,000 20,00045 Equipment

70,000 150,000 100,000 20,000 10,000 51 Miscellaneous

20,000 20,000 20,000 20,000 20,000Sub-Total Output 2

255,000 610,000 545,000 380,000 210,000 Sub-Total Outcome 2

255,000 610,000 545,000 380,000 210,000 Outcome 3: Minerals and metals development

Output 3: Capacities for minerals and metal processing 11 International experts

40,000 90,000 80,000 60,000 30,000 15 Project travel

10,000 20,000 20,000 20,000 10,000 16 Staff travel

10,000 10,000 10,000 10,000 10,00017 National experts & admin staff

50,000 90,000 90,000 80,000 40,000 21 Subcontracts

50,000 80,000 80,000 70,000 40,000 30 In-service training, conferences,

workshops 40,000 40,000 40,000 40,000 40,00035 International Meetings

20,000 40,000 40,000 30,000 20,000 43 Premises

20,000 20,000 20,000 20,000 20,00045 Equipment

100,000 90,000 80,000 50,000 30,000

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51 Miscellaneous 20,000 20,000 20,000 20,000 20,000

Sub-Total Output 3 360,000 500,000 480,000 400,000 260,000

Sub-Total Outcome 3 360,000 500,000 480,000 400,000 260,000

Outcome 4: Trade capacity building

Output 4: Trade capacities11 International experts

100,000 250,000 250,000 250,000 150,000 15 Project travel

30,000 80,000 70,000 50,000 20,000 16 Staff travel

20,000 20,000 20,000 20,000 20,00017 National experts & admin staff

150,000 450,000 450,000 450,000 300,000 21 Subcontracts

200,000 300,000 300,000 300,000 100,000 30 In-service training, conferences,

workshops 40,000 120,000 120,000 120,000 100,000 35 International Meetings

30,000 80,000 80,000 70,000 40,000 43 Premises

90,000 90,000 90,000 90,000 90,00045 Equipment

350,000 500,000 800,000 250,000 100,000 51 Miscellaneous

80,000 80,000 80,000 80,000 80,000Sub-Total Output 4

1,090,000 1,970,000 2,260,000 1,680,000 1,000,000 Sub-Total Outcome 4

1,090,000 1,970,000 2,260,000 1,680,000 1,000,000 Outcome 5: Micro, small and medium enterprises development

Output 5.1: Capacity for MSME growth11 International experts

20,000 50,000 50,000 40,000 40,000 15 Project travel

10,000 10,000 10,000 10,000 10,00016 Staff travel

6,000 6,000 6,000 6,000 6,00017 National experts & admin staff

50,000 110,000 110,000 110,000 70,000 21 Subcontracts

30,000 75,000 75,000 30,000 15,000 30 In-service training, conferences,

workshops 30,000 70,000 70,000 60,000 20,000 35 International Meetings

10,000 15,000 15,000 15,000 15,00043 Premises

0 0 0 0 - 45 Equipment

50,000 50,000 50,000 0 - 51 Miscellaneous

15,000 15,000 15,000 15,000 15,000Sub-Total Output 5.1

221,000 401,000 401,000 286,000 191,000 Output 5.2: Access to markets

11 International experts10,000 15,000 20,000 15,000 15,000

15 Project travel9,000 9,000 9,000 9,000 9,000

16 Staff travel3,000 8,000 8,000 7,000 4,000

17 National experts & admin staff20,000 40,000 40,000 40,000 30,000

21 Subcontracts15,000 25,000 15,000 10,000 10,000

30 In-service training, conferences, workshops 10,000 10,000 10,000 10,000 10,000

35 International Meetings5,000 7,000 6,000 6,000 6,000

43 Premises0 0 0 0

45 Equipment0 0 0 0

51 Miscellaneous 5,000 5,000 5,000 5,000 5,000

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Sub-Total Output 5.2 77,000 119,000 113,000 102,000 89,000

Output 5.3: Technology and enterprise upgrading

11 International experts30,000 50,000 25,000 25,000 20,000

15 Project travel6,000 6,000 6,000 6,000 6,000

16 Staff travel2,000 3,000 5,000 5,000 5,000

17 National experts & admin staff50,000 50,000 50,000 50,000 50,000

21 Subcontracts20,000 15,000 15,000 15,000 5,000

30 In-service training, conferences, workshops 10,000 10,000 10,000 10,000 10,000

35 International Meetings6,000 6,000 6,000 6,000 6,000

43 Premises0 0 0 0

45 Equipment70,000 100,000 80,000 50,000 50,000

51 Miscellaneous 10,000 10,000 10,000 10,000 10,000

Sub-Total Output 5.3 204,000 250,000 207,000 177,000 162,000

Output 5.4: Infrastructure development

11 International experts30,000 70,000 50,000 50,000 50,000

15 Project travel10,000 10,000 10,000 10,000 10,000

16 Staff travel3,000 8,000 7,000 6,000 6,000

17 National experts & admin staff45,000 105,000 105,000 105,000 90,000

21 Subcontracts50,000 75,000 40,000 30,000 5,000

30 In-service training, conferences, workshops 20,000 20,000 20,000 20,000 20,000

35 International Meetings20,000 15,000 15,000 15,000 15,000

43 Premises8,000 8,000 8,000 8,000 8,000

45 Equipment100,000 250,000 250,000 100,000 50,000

51 Miscellaneous 10,000 10,000 10,000 10,000 10,000

Sub-Total Output 5.4 296,000 571,000 515,000 354,000 264,000

Sub-Total Outcome 5 798,000 1,341,000 1,236,000 919,000 706,000

Outcome 6: Special Economic Zones, Industrial Parks and Private Sector Development

Output 6.1: Feasibility studies and master plan11 International experts

170,000 250,000 250,000 200,000 200,000 15 Project travel

6,000 6,000 6,000 6,000 6,00016 Staff travel

2,000 5,000 5,000 5,000 3,000 17 National experts & admin staff

20,000 20,000 20,000 20,000 20,00021 Subcontracts

5,000 7,000 7,000 7,000 4,000 30 In-service training, conferences,

workshops 15,000 15,000 15,000 15,000 20,000 35 International Meetings

10,000 15,000 15,000 15,000 15,00043 Premises

0 0 0 045 Equipment

0 0 0 051 Miscellaneous

20,000 20,000 20,000 20,000 20,000Sub-Total Output 6.1 248,000 338,000 338,000 288,000 288,000

Output 6.2: Model SEZs 11 International experts

130,000 170,000 150,000 150,000 150,000

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15 Project travel15,000 15,000 15,000 15,000 20,000

16 Staff travel5,000 12,500 12,500 10,000 10,000

17 National experts & admin staff20,000 25,000 25,000 25,000 25,000

21 Subcontracts25,000 50,000 15,000 10,000 -

30 In-service training, conferences, workshops 10,000 10,000 10,000 10,000 10,000

35 International Meetings0 10,000 15,000 20,000 5,000

43 Premises0 0 0 0

45 Equipment750,000 1,000,000 1,250,000 1,000,000 1,000,000

51 Miscellaneous 60,000 60,000 60,000 60,000 60,000

Sub-Total Output 6.2 1,015,000 1,352,500 1,552,500 1,300,000 1,280,000

Output 6.3: Investment promotion11 International experts 15,000 25,000 20,000 20,000 20,000

15 Project travel 10,000 15,000 15,000 15,000 15,000

16 Staff travel 10,000 10,000 10,000 10,000 10,000

17 National experts & admin staff 5,000 25,000 25,000 25,000 25,000

21 Subcontracts 15,000 15,000 10,000 10,000 -

30 In-service training, conferences, workshops

30,000 75,000 75,000 50,000 20,000

35 International Meetings 15,000 60,000 50,000 50,000 50,000

43 Premises 0 0 0 0

45 Equipment 50,000 0 0 0

51 Miscellaneous 20,000 20,000 20,000 20,000 20,000

Sub-Total Output 6.3 170,000 245,000 225,000 200,000 160,000

Output 6.4: Ease of doing business11 International experts 10,000 10,000 10,000 10,000 10,000

15 Project travel 15,000 20,000 15,000 15,000 15,000

16 Staff travel 10,000 10,000 10,000 10,000 10,000

17 National experts & admin staff 30,000 30,000 30,000 30,000 30,000

21 Subcontracts 30,000 50,000 70,000 50,000 50,000

30 In-service training, conferences, workshops

10,000 25,000 25,000 25,000 15,000

35 International Meetings 10,000 15,000 15,000 15,000 15,000

43 Premises 0 0 0 0

45 Equipment 50,000 75,000 25,000 0 -

51 Miscellaneous 20,000 20,000 20,000 20,000 20,000

Sub-Total Output 6.4 185,000 255,000 220,000 175,000 165,000

Output 6.5: Private sector development11 International experts

20,000 20,000 20,000 20,000 20,00015 Project travel

15,000 15,000 15,000 15,000 20,000 16 Staff travel

10,000 10,000 10,000 10,000 10,00017 National experts & admin staff

20,000 50,000 50,000 40,000 40,000

65

21 Subcontracts80,000 80,000 80,000 80,000 80,000

30 In-service training, conferences, workshops 40,000 60,000 50,000 50,000 50,000

35 International Meetings20,000 30,000 20,000 20,000 10,000

43 Premises0 0 0 0

45 Equipment70,000 30,000 50,000 0 -

51 Miscellaneous 334,000 334,000 334,000 334,000 334,000

Sub-Total Output 6.5609,000 629,000 629,000 569,000 564,000

Sub-Total Outcome 6 2,227,000 2,819,500 2,964,500 2,532,000 2,457,000

Outcome 7: Innovation, science and technology management

Output 7: Innovation, science and technology for industrial development11 International experts

50,000 40,000 40,000 40,000 30,000 15 Project travel

15,000 20,000 15,000 15,000 15,00016 Staff travel

10,000 10,000 10,000 10,000 10,00017 National experts & admin staff

10,000 20,000 20,000 20,000 30,000 21 Subcontracts

50,000 30,000 20,000 10,000 10,000 30 In-service training, conferences,

workshops 20,000 30,000 20,000 20,000 10,000 35 International Meetings

10,000 10,000 10,000 10,000 10,00043 Premises

0 0 0 045 Equipment

300,000 500,000 200,000 150,000 50,000 51 Miscellaneous

20,000 20,000 20,000 20,000 20,000Sub-Total Output 7

485,000 680,000 355,000 295,000 185,000 Sub-Total Outcome 7

485,000 680,000 355,000 295,000 185,000 Outcome 8: Renewable energy development

Output 8.1: Small hydro power11 International experts

10,000 20,000 20,000 10,000 - 15 Project travel

15,000 20,000 15,000 15,000 15,00016 Staff travel

10,000 10,000 10,000 10,000 10,00017 National experts & admin staff

10,000 20,000 20,000 20,000 30,000 21 Subcontracts

10,000 10,000 10,000 0 - 30 In-service training, conferences,

workshops 0 20,000 10,000 10,000 10,00035 International Meetings

10,000 10,000 5,000 5,000 - 43 Premises

0 0 0 045 Equipment

250,000 500,000 500,000 150,000 100,000 51 Miscellaneous

20,000 20,000 20,000 20,000 20,000Sub-Total Output 8.1

335,000 630,000 610,000 240,000 185,000 Output 8.2: Bioenergy

11 International experts30,000 50,000 70,000 30,000 20,000

15 Project travel10,000 20,000 20,000 20,000 10,000

16 Staff travel5,000 10,000 10,000 10,000 15,000

17 National experts & admin staff30,000 45,000 45,000 50,000 55,000

21 Subcontracts20,000 30,000 40,000 20,000 10,000

66

30 In-service training, conferences, workshops 15,000 25,000 25,000 20,000 15,000

35 International Meetings5,000 10,000 10,000 10,000 15,000

43 Premises0 0 0 0

45 Equipment150,000 450,000 750,000 650,000 500,000

51 Miscellaneous 35,000 35,000 35,000 35,000 35,000

Sub-Total Output 8.2 300,000 675,000 1,005,000 845,000 675,000

Output 8.3: Solar power11 International experts

20,000 30,000 35,000 35,000 30,000 15 Project travel

10,000 15,000 15,000 15,000 25,000 16 Staff travel

10,000 10,000 10,000 10,000 10,00017 National experts & admin staff

25,000 60,000 60,000 55,000 50,000 21 Subcontracts

20,000 25,000 25,000 25,000 25,00030 In-service training, conferences,

workshops 20,000 20,000 20,000 20,000 20,00035 International Meetings

10,000 10,000 10,000 10,000 10,00043 Premises

0 0 0 045 Equipment

300,000 750,000 750,000 750,000 450,000 51 Miscellaneous

40,000 40,000 40,000 40,000 40,000Sub-Total Output 8.3

455,000 960,000 965,000 960,000 660,000 Output 8.4: Wind power

11 International experts10,000 45,000 45,000 30,000 20,000

15 Project travel0 10,000 10,000 5,000 5,000

16 Staff travel4,000 4,000 4,000 4,000 4,000

17 National experts & admin staff10,000 16,000 16,000 16,000 22,000

21 Subcontracts10,000 20,000 15,000 5,000 -

30 In-service training, conferences, workshops 15,000 15,000 15,000 15,000 5,000

35 International Meetings10,000 10,000 10,000 0

43 Premises0 0 0 0

45 Equipment30,000 20,000 0 0

51 Miscellaneous 5,000 5,000 5,000 5,000 5,000

Sub-Total Output 8.4 94,000 145,000 120,000 80,000 61,000

Sub-Total Outcome 8 1,184,000 2,410,000 2,700,000 2,125,000 1,581,000

Outcome 9: Environmental management

Output 9.1: Environmental management and cleaner production11 International experts

30,000 60,000 60,000 60,000 40,000 15 Project travel

10,000 15,000 15,000 15,000 25,000 16 Staff travel

10,000 10,000 10,000 10,000 10,00017 National experts & admin staff

30,000 70,000 70,000 70,000 60,000 21 Subcontracts

30,000 40,000 20,000 10,000 20,000 30 In-service training, conferences,

workshops 50,000 70,000 70,000 90,000 70,000 35 International Meetings

20,000 30,000 20,000 20,000 10,000

67

43 Premises50,000 50,000 50,000 50,000 50,000

45 Equipment250,000 1,000,000 1,000,000 750,000 250,000

51 Miscellaneous 50,000 50,000 50,000 50,000 50,000

Sub-Total Output 9.1 530,000 1,395,000 1,365,000 1,125,000 585,000

Sub-Total Outcome 9530,000 1,395,000 1,365,000 1,125,000 585,000

Outcome 10: Programme Management, M&E

Output 10.1: Programme Management, Monitoring and Self-evaluation

11 International experts 10,000 20,000 20,000 20,000 30,000

15 Project travel 5,000 20,000 30,000 25,000 20,000

16 Staff travel 20,000 20,000 20,000 20,000 20,000

17 National experts & admin staff 10,000 40,000 40,000 30,000 30,000

30 In-service training, conferences, workshops

36,000 36,000 36,000 36,000 36,000

43 Premises 5,000 5,000 5,000 5,000 5,000

45 Equipment 30,000 30,000 30,000 30,000 30,000

51 Miscellaneous 19,000 19,000 19,000 19,000 19,000

Sub-Total Output 10.1 135,000 190,000 200,000 185,000 190,000

Output 10.2: Independent mid-term and terminal evaluation11 International evaluator - - 5,000 - 25,000 15 Project staff travel

- - 3,000 - 12,000 17 National evaluator(s) - - 10,000 - 40,000 51 Miscellaneous - - 1,000 - 4,000

Sub-Total Output 10.2 - - 19,000 - 81,000 Sub-Total Outcome 10 135,000 190,000 219,000 185,000 271,000

TOTAL 7,294,000 12,484,500 12,578,500 10,084,000 7,559,000

Programme Support Cost (13%)        GRAND TOTAL        

68