Theory question 101
Manufacturing Industry(a) Identify five problems affecting industrial growth in developing countries. (b) Suggest five measures that can promote the growth of industries in developing countries.
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(a) Inadequate capital; erratic power supply; shortage of skilled labour and technology; poor transport and infrastructure; inadequate or irregular raw materials; small home market/low purchasing power; competition from imported goods; political instability and insecurity; high taxes and inconsistent policies; poor management and corruption.
(b) Provide credit and industrial development banks; improve power supply; train technical manpower; build roads, railways and other infrastructure; use local raw materials and encourage research; protect infant industries (tariffs, bans on some imports); tax holidays and incentives; stable government and good policies; security.
Each measure should answer a problem.