Military Seals $2bn Local Weapons Production Deal
The Nigerian Army has signed a $2bn defence manufacturing partnership through the Defence Industries Corporation of Nigeria (DICON) to bolster local arms production and reduce the country’s dependency on imported defence equipment.
On Wednesday, the Director General of DICON, Major General Babatunde Alaya, and the Group Chief Executive Officer of SP Offshore Nigeria Limited, Mr. Obafemi Adekunle, formalised the agreement as a joint venture to execute the investment plan.
The partnership was formed in line with provisions of the DICON Act 2023, which permits DICON to engage private sector stakeholders.
Alaya explained that the collaboration aligns with Nigeria’s national defence objectives, including the federal government’s goal of achieving self-sufficiency in arms manufacturing by 2027.
“A $2bn investment plan would boost local sufficiency in manufacturing of the defence needs of the Armed Forces and other security agencies.
“The historic partnership marks a transformative step towards achieving Nigeria’s vision of a robust military-industrial complex,” Alaya stated.
He noted that through this partnership, Nigeria intends to boost its defence readiness and expand its influence in regional security by exporting excess production capacity to neighbouring African countries.
He also highlighted that the investment would enhance DICON’s infrastructure and help introduce modern defence technologies into the country with the support of international investors via SP Offshore.
“With backing from foreign investors, SP Offshore will bring in advanced defence technologies to support DICON’s infrastructure in producing world-class equipment locally,” Alaya said.
Alaya further stressed that the venture will strengthen operational readiness across the security sector, promote domestic innovation, and generate employment opportunities.
Mr. Adekunle confirmed that the partnership will lead to the construction of technologically advanced production facilities within Nigeria.
“These facilities will manufacture small arms, drones, ammunition, and advanced defence systems tailored to the needs of the Nigerian military and security agencies.”
He added that the “joint venture would include the setup of assembly lines for radars, biometric systems, weapons, and other critical defence tools to meet both local demands and potential regional export goals”.
Military Seals $2bn Local Weapons Production Deal is first published on The Whistler Newspaper
