Future of the Nigerian Defense Industry – Market Attractiveness, Competitive Landscape and Forecasts to 2021

Powered by

All the vital news, analysis, and commentary curated by our industry experts.

$1250
Buy Report

Published: November 01, 2016 Report Code: GD-SDIDF0383MR-ST

Select Item

The Future of the Nigerian Defense Industry – Market Attractiveness, Competitive Landscape and Forecasts to 2021, published by Strategic Defense Intelligence, provides readers with detailed analysis of both historic and forecast defense industry values, factors influencing demand, the challenges faced by industry participants, analysis of industry leading companies, and key news.

Scope

This report offers detailed analysis of the Nigerian defense industry with market size forecasts covering the next five years. This report will also analyze factors that influence demand for the industry, key market trends, and challenges faced by industry participants.

In particular, it provides an in-depth analysis of the following:

The Nigerian defense industry market size and drivers: detailed analysis of the Nigerian defense industry during 2017–2021, including highlights of the demand drivers and growth stimulators for the industry. It also provides a snapshot of the country’s expenditure and modernization patterns

Budget allocation and key challenges: insights into procurement schedules formulated within the country and a breakdown of the defense budget with respect to the army, navy, and air force. It also details the key challenges faced by defense market participants within the country

Porter’s Five Force analysis of the Nigerian defense industry: analysis of the market characteristics by determining the bargaining power of suppliers, bargaining power of buyers, threat of substitution, intensity of rivalry, and barriers to entry

Import and Export Dynamics: analysis of prevalent trends in the country’s imports and exports over the last five years

Market opportunities: details of the top five defense investment opportunities over the next 10 years

Competitive landscape and strategic insights: analysis of the competitive landscape of the Nigerian defense industry. It provides an overview of key players, together with insights such as key alliances, strategic initiatives, and a brief financial analysis.

Reasons to Buy

This report will give the user confidence to make the correct business decisions based on a detailed analysis of the Nigerian defense industry market trends for the coming five years

The market opportunity section will inform the user about the various military requirements that are expected to generate revenues during the forecast period. The description includes technical specifications, recent orders, and the expected investment pattern by the country during the forecast period

Detailed profiles of the top domestic and foreign defense manufacturers with information about their products, alliances, recent contract wins, and financial analysis wherever available. This will provide the user with a total competitive landscape of the sector

A deep qualitative analysis of the Nigerian defense industry covering sections including demand drivers, Porter’s Five Forces Analysis, Key Trends and Growth Stimulators, and latest industry contracts.

Defense Industries Corporation of Nigeria (DICON) and Dornier Aviation Nigeria AIEP Limited (DANA)

Table of Contents

1 Introduction

1.1. What is this Report About?

1.2. Definitions

1.3. Summary Methodology

1.4. SDI Terrorism Index

1.5. About Strategic Defense Intelligence

2 Executive Summary

3 Market Attractiveness and Emerging Opportunities

3.1. Defense Market Size Historical and Forecast

3.1.1. Nigerian Defense expenditure is projected to grow at a CAGR of

3.73% during the forecast period

3.1.2. Insurgency, piracy, oil smuggling, and peacekeeping operations are expected to drive defense expenditure

3.1.3. Defense budget as a percentage of GDP expected to average

0.3% over the forecast period

3.2. Analysis of Defense Budget Allocation

3.2.1. Allocation for capital expenditure expected to average at

34.4% over the forecast period

3.2.2. Capital expenditure budget expected to grow at

14.71% over the forecast period

3.2.3. Allocation for the army accounts for the majority of the defense budget

3.2.4. Army expenditure to grow at a CAGR

3.65% over the forecast period

3.2.5. Naval expenditure to grow at a CAGR of

3.68% over the forecast period

3.2.6. Expenditure on the air force to increase during the forecast period

3.2.7. Per capita defense expenditure expected to increase during the forecast period

3.3. Homeland Security Market Size and Forecast

3.3.1. Homeland security budget projected to increase during the forecast period

3.3.2. The threat from Boko Haram, drug trafficking, cybercrime, and money laundering to drive the homeland security market

3.3.3. Nigeria falls under the 'worst affected category' by terrorist attack

3.3.4. Nigeria faces high level of threat from foreign as well as domestic terrorist organizations

3.3.5. Nigeria has a terrorism Index Score of

9.2

3.4. Benchmarking with Key Global Markets

3.4.1. The country's defense budget is expected to increase during the forecast period

3.4.2. Nigerian military expenditure is limited compared to countries with the largest defense expenditure

3.4.3. The country allocates a lower percentage of GDP to defense

3.5. Market Opportunities: Key Trends and Growth Stimulators

3.5.1. Fighters & Multi-role Aircraft

3.5.2. Infantry Fighting Vehicles (IFV)

3.5.3. Attack Helicopters

3.5.4. Transport Aircrafts

4 Defense Procurement Market Dynamics

4.1. Import Market Dynamics

4.1.1. Limited capability of the domestic defense market drives imports

4.1.2. Defense imports expected to increase during the forecast period

4.1.3. China, the US, and Italy account for the majority of the country's defense imports

4.1.4. Aircraft and ships are the largest imported military hardware

4.2. Export Market Dynamics

4.2.1. Nigeria does not export arms due to its underdeveloped domestic arms industry

5 Industry Dynamics

5.1. Five Forces Analysis

5.1.1. Bargaining power of supplier: low to medium

5.1.2. Bargaining power of buyer: medium to high

5.1.3. Barrier to entry: medium

5.1.4. Intensity of rivalry: low

5.1.5. Threat of substitution: low

6 Market Entry Strategy

6.1. Market Regulation

6.1.1. Nigeria does not disclose any offset obligations imposed by the country

6.1.2. FDI in the defense sector prohibited by the Nigerian government

6.2. Market Entry Route

6.2.1. Direct selling is the preferred market entry route for foreign OEMs

6.3. Key Challenges

6.3.1. Corruption acts as an obstacle for market entry

6.3.2. Small defense budget discourages major suppliers

6.3.3. Unorganized mismanaged industry jeopardizes development of domestic industry

7 Competitive Landscape and Strategic Insights

7.1. Competitive Landscape Overview

7.2. Key Domestic Companies

7.2.1. Defense Industries Corporation of Nigeria: overview

7.2.2. Defense Industries Corporation of Nigeria: products and services

7.2.3. Defense Industries Corporation of Nigeria: recent announcements and strategic initiatives

7.2.4. Defense Industries Corporation of Nigeria: alliances

7.2.5. Defense Industries Corporation of Nigeria: recent contract awards

7.2.6. Dornier Aviation Nigeria AIEP Limited: overview

7.2.7. Dornier Aviation Nigeria AIEP Limited: products and services

8 Business Environment and Country Risk

8.1. Economic Performance

8.1.1. Gross Domestic per Capita

8.1.2. Gross Domestic Product, current US$

8.1.3. Exports of Goods and Services

8.1.4. Imports of Goods and Services

8.1.5. Gross National disposable income (USD Bn)

8.1.6. Local Currency Unit per US$

8.1.7. Market capitalization of listed companies (USD Bn)

8.1.8. Market capitalization of listed companies (% GDP)

8.1.9. Government cash surplus/deficit as % of GDP (LCU)

8.1.10. Goods Exports as a % of GDP

8.1.11. Goods Imports as a % of GDP

8.1.12. Services Imports as a % of GDP

8.1.13. Services Exports as a % of GDP

8.1.14. Net Foreign Direct Investment

8.1.15. Net FDI as a percentage of GDP

8.1.16. Mining, Manufacturing, Utilities Output (USD Bn)

9 Appendix

9.1. About SDI

9.2. Disclaimer

Table

Table 1: Nigerian Defense Expenditure (NGN billion& US$ billion), 2012-2021

Table 2: Nigerian GDP Growth vs. Defense Expenditure as Percentage of GDP Growth, 2012-2021

Table 3: Nigerian Defense Budget Split between Capital and Revenue Expenditure (%), 2012-2021

Table 4: Nigerian Defense Capital Expenditure (NGN Billion & US$ Million), 2012-2021

Table 5: Nigerian Defense budget Split between the Army, Air Force, Navy, and Others, 2012-2021

Table 6: Nigerian Defense Expenditure for Army (NGN billion & US$ Million), 2012-2021

Table 7: Nigerian Defense Expenditure for Navy (NGN billion & US$ Million), 2012-2021

Table 8: Nigerian Defense Expenditure for Air Force (NGN billion & US$ Million), 2012-2021

Table 9: Nigerian Per Capita Defense Expenditure (US$), 2012-2021

Table 10: Nigerian Homeland Security Expenditure (NGN Billion & US$ billion), 2012-2021

Table 11: SDI Terrorism Index, 2016

Table 12: Benchmarking with Key Markets – 2012-2016 vs. 2017-2021

Table 13: Defense Industries Corporation of Nigeria – Main Products

Table 14: Defense Industries Corporation of Nigeria: Alliances

Table 15: Defense Industries Corporation of Nigeria: Recent Contract Awards

Figures

Figure 1: Nigerian Defense Expenditure (in NGN Bn), 2012-2021

Figure 2: Nigerian Defense Expenditure (in US$ Bn), 2012-2021

Figure 3: Nigerian GDP Growth vs. Defense Expenditure as Percentage of GDP Growth, 2012-2021

Figure 4: Nigerian Defense Budget Split Between Capital and Revenue Expenditure (%), 2012-2021

Figure 5: Nigerian Capital Budget Allocation (NGN Billion), 2012-2021

Figure 6: Nigerian Capital Budget Allocation (US$ billion), 2012-2021

Figure 7: Nigerian Defense budget Split between the Army, Air Force, Navy, and Others, 2012-2021

Figure 8: Nigerian Expenditure on Army (NGN Billion), 2012-2021

Figure 9: Nigerian Expenditure on Army (US$ Billion), 2012-2021

Figure 10: Nigerian Expenditure on Navy (NGN Billion), 2012-2021

Figure 11: Nigerian Expenditure on Navy(US$ Billion), 2012-2021

Figure 12: Nigerian Expenditure on Air Force (NGN Billion), 2012-2021

Figure 13: Nigerian Expenditure on Air Force (US$ Billion), 2012-2021

Figure 14:Nigerian Per Capita Defense Expenditure (US$), 2012-2021

Figure 15: Nigerian Homeland Security Budget (NGN billion), 2012-2021

Figure 16: Nigerian Homeland Security Budget (US$ billion), 2012-2021

Figure 17: SDI Terrorism Heat Map, 2016

Figure 18: SDI Terrorism Index, 2016

Figure 19: Benchmarking with Key Markets – 2011-2015 vs. 2016-2020

Figure 20: Defense Expenditure of the World's Largest Military Spenders (US$ Billion), 2016 and 2021

Figure 21: Defense Expenditure as a Percentage of GDP of Largest Military Spenders (%), 2016

Figure 22: Fighters & Multi-role Aircraft Market Size (US$ Million), 2016-2026

Figure 23: Infantry Fighting Vehicles (IFV) Helicopters Market Size (US$ Million), 2016-2026

Figure 24: Attack Helicopters Market Size (US$ Million), 2016-2026

Figure 25: Transport Aircraft Market Size (US$ Million), 2016- 2026

Figure 26: Nigerian Defense Import Trend, 2011-2015 (TIV values)

Figure 27: Nigerian Defense Imports by Country (US$ Million), 2011-2015

Figure 28: Nigerian Defense Imports by Category (%), 2011-2015

Figure 29: Industry Dynamics – Porter's Five Forces Analysis

Figure 30: Nigeria's GDP per capita, 2016-2025

Figure 31: Nigeria's Gross Domestic Product (current US$ Billion), 2016-2025

Figure 32: Nigeria's Exports of goods and services (LCU), 2005-2014

Figure 33: Nigeria's Imports of goods and services (LCU Billion), 2005-2014

Figure 34: Nigeria's Gross National disposable income (US$ Bn), 2005-2012

Figure 35: Nigeria's LCU per US$, 2015-2024

Figure 36: Nigeria's Market capitalization of listed companies (USD Bn), 2005-2012

Figure 37: Nigeria's Market capitalization of listed companies (% GDP), 2005-2012

Figure 38: Nigerian Government cash surplus/deficit as a % of GDP (LCU), 2005-2012

Figure 39: Nigeria's Goods Exports as a % of GDP, 2005-2012

Figure 40: Nigeria's Goods Imports as a % of GDP, 2005-2012

Figure 41: Nigeria's Services Imports as a % of GDP, 2005-2012

Figure 42: Nigeria's Services Exports as a % of GDP, 2002-2011

Figure 43: Nigeria's Net Foreign Direct Investment (BoP, current US$ Billion), 2005-2012

Figure 44: Nigeria's Net FDI as a percentage of GDP, 2005-2012

Figure 45: Nigeria's Mining, Manufacturing, Utilities Output (LCU Bn) 2005-2014

Frequently asked questions

Future of the Nigerian Defense Industry – Market Attractiveness, Competitive Landscape and Forecasts to 2021 standard reports
Currency USD
$1,250

Can be used by individual purchaser only

Most Popular
$2,500

Can be shared by unlimited users within one corporate location e.g. a regional office

$3,750

Can be shared globally by unlimited users within the purchasing corporation e.g. all employees of a single company

Add to Basket

Undecided about purchasing this report?

Enquire Before Buying

Get in touch to find out about multi-purchase discounts

reportstore@globaldata.com
Tel +44 20 7947 2745

Every customer’s requirement is unique. With over 220,000 construction projects tracked, we can create a tailored dataset for you based on the types of projects you are looking for. Please get in touch with your specific requirements and we can send you a quote.

See what our customers are saying

“The GlobalData platform is our go-to tool for intelligence services. GlobalData provides an easy way to access comprehensive intelligence data around multiple sectors, which essentially makes it a one-for-all intelligence platform, for tendering and approaching customers.

GlobalData is very customer orientated, with a high degree of personalised services, which benefits everyday use. The highly detailed project intelligence and forecast reports can be utilised across multiple departments and workflow scopes, from operational to strategic level, and often support strategic decisions. GlobalData Analytics and visualisation solutions has contributed positively when preparing management presentations and strategic papers.”

 Business Intelligence & Marketing Manager, SAL Heavy Lift

“COVID-19 has caused significant interference to our business and the COVID-19 intelligence from GlobalData has helped us reach better decisions around strategy. These two highlights have helped enormously to understand the projections into the future concerning our business units, we also utilise the project database to source new projects for Liebherr-Werk to use as an additional source to pitch for new business.”

 Market Analyst & Management, Liebherr-Werk

Your daily news has saved me a lot of time and keeps me up-to-date with what is happening in the market, I like that you almost always have a link to the source origin. We also use your market data in our Strategic Business Process to support our business decisions. By having everything in one place on the Intelligence Center it has saved me a lot of time versus looking on different sources, the alert function also helps with this.

 Head of Key Accounts, Saab AB

Having used several other market research companies, I find that GlobalData manages to provide that ‘difficult-to-get’ market data that others can’t, as well as very diverse and complete consumer surveys.

 Marketing Intelligence Manager, Portugal Foods

Our experience with GlobalData has been very good, from the platform itself to the people. I find that the analysts and the account team have a high level of customer focus and responsiveness and therefore I can always rely on. The platform is more holistic than other providers. It is convenient and almost like a one stop shop. The pricing suite is highly competitive and value for our organisation.

I like reports that inform new segments such as the analysis on generation Z, millennials, the impact of COVID 19 to our banking customers and their new channel habits. Secondly the specialist insight on affluent sector significantly increases our understanding about this group of customers. The combination of those give us depth and breadth of the evolving market.

I’m in the business of answering and helping people make decisions so with the intelligence center I can do that, effectively and efficiently. I can share quickly key insights that answer and satisfy our country stakeholders by giving them many quality studies and primary research about competitive landscape beyond the outlook of our bank. It helps me be seen as an advisory partner and that makes a big difference. A big benefit of our subscription is that no one holds the whole data and because it allows so many people, so many different parts of our organisation have access, it enables all teams to have the same level of knowledge and decision support.

 Head of Customer Insight and Research, Standard Chartered

“I know that I can always rely on Globaldata’s work when I’m searching for the right consumer and market insights. I use Globaldata insights to understand the changing market & consumer landscape and help create better taste & wellbeing solutions for our customers in food, beverage and healthcare industries.

Globaldata has the right data and the reports are of very high quality compared to your competitors. Globaldata not only has overall market sizes & consumer insights on food & beverages but also provides insights at the ingredient & flavour level. That is key for B2B companies like Givaudan. This way we understand our customers’ business and also gain insight to our unique industry”

 Head of Consumer Sensory Insights, Givaudan

GlobalData provides a great range of information and reports on various sectors that is highly relevant, timely, easy to access and utilise.  The reports and data dashboards help engagement with clients; they provide valuable industry and market insights that can enrich client conversations and can help in the shaping of value propositions. Moreover, using GlobalData products has helped increase my knowledge of the finance sector, the players within it, and the general threats and opportunities.

I find the consumer surveys that are carried out to be extremely beneficial and not something I have seen anywhere else. They provided an insightful view of why and which consumers take (or don’t) particular financial products. This can help shape conversations with clients to ensure they make the right strategic decisions for their business.

One of the challenges I have found is that data in the payments space is often piecemeal. With GD all of the data I need is in one place, but it also comes with additional market reports that provide useful extra context and information. Having the ability to set-up alerts on relevant movements in the industry, be it competitors or customers, and have them emailed directly to me, ensures I get early sight of industry activity and don’t have to search for news.

 Senior Account Manager, TSYS

Related reports

View more Homeland Security reports
Aerospace and Defense
New
Egypt Defense Market Size, Trends, Budget Allocation, Regulations, Acquisitions, Competitive…
$1,250 | April 2024
Aerospace and Defense
New
Quantum Computing in Aerospace, Defense and Security - Thematic Intelligence
$995 | April 2024
Aerospace and Defense
New
Netherlands Defense Market Size, Trends, Budget Allocation, Regulations, Acquisitions, Competitive…
$1,250 | March 2024
Go even deeper with GlobalData Intelligence Center

Every Company Report we produce is powered by the GlobalData Intelligence Center.

Subscribing to our intelligence platform means you can monitor developments at Future of the Nigerian Defense Industry – Market Attractiveness, Competitive Landscape and Forecasts to 2021 in real time.

  • Access a live Future of the Nigerian Defense Industry – Market Attractiveness, Competitive Landscape and Forecasts to 2021 dashboard for 12 months, with up-to-the-minute insights.
  • Fuel your decision making with real-time deal coverage and media activity.
  • Turn insights on financials, deals, products and pipelines into powerful agents of commercial advantage.
Tell me more