1. Principally, Bauchi state economy largely depends on agriculture as a key driver. 70% of its population is into agricultural activities. The State is blessed with 4.2m ha of arable land and only 1.8m ha is being utilized for agricultural development presently. Thus, 2.4m ha is yet to be utilized. It is estimated that 65% of the total land area of the State is cultivatable.
2. Acclaimed the ‘Food Basket’ of the nation, the State enjoyed World Bank assisted Agricultural Development Programme (ADP) which exposed its largely subsistence farmers to modern Agricultural practices. Today, the State produces surplus quantities of food and cash crops for industrial purposes. These include cereals such as millet, maize, rice, sorghum and wheat for the establishment of millet flour, rice milling, maize flour, animal feeds and Cornflakes.
3. Legumes such as Cowpea, Groundnut, Soya-beans etc. are grown in commercial quantities, as well as industrial crops such as cotton, ginger, sugarcane, sunflower and sesame seed. They provide abundant raw materials for the establishment of spinning mill, textile, sugar factory and oilextraction companies.
4. Side by side with the development of industrial crops, fish production is also predominant in the State while goat, sheep, cattle and rabbits are reared to provide meat for local and industrial consumption. In addition, a poultry farming is encouraged by government. The State has a meat processing company and tannery, and has prospects for more related industries.
5. The State has two functioning dams, one essentially for the supply of drinking water to Bauchi metropolis and the second, Waya dam for irrigation purposes. The third dam, Kafin Zaki is under construction. It is the largest and can generate electricity in addition to irrigation and fish farming.
6. Apart from the dams, the State is watered by the Gongola and Jama’are rivers. These rivers cut across some local government areas in the State and provide suitable Fadama areas for massive food and cash crop production. It is of interest to state that, Bauchi state has 181,000ha potential for fadama farming along drainages and rivers but only 25,000ha have been developed for dry season irrigation farmingactivities.

Besides Agricultural potentials, Bauchi State is also endowed with other economic potentials which are of immense importance as a means of livelihood. These include:

1. Tourism: Bauchi State is rich in tourism. Apart from Yankari Game Reserve where wild Animals exist with a lot of natural attractions such as spring water, there are some other identified attractions which are being developed in phases such as the Mining beacon at Tilden Fulani, Panshanu stone heaps, Geji rock painting, Babban Gwani architectural design at K/Madaki Lame/Burra Game Reserve etc
2. Solid Minerals: Bauchi State is blessed with largely untapped mineral resources. Large deposits of Tin ore are known to exist in various parts of the state like Gumau, Tilden Fulani and Alkaleri, Darazo, and Bauchi.
3. Other mineral deposits found in the state are Coal, Antimony, Gypsum, and Iron ore, Gold, Marble, Columbite, Gem Stone and Zinc.
4. Petroleum: There is petroleum related deposits in the state. In the past, Shell petroleum Development Co. was engaged in drilling for oil and gas in the East and Southern part of the state. But recently, NNPC also signed an agreement with some oil and gas prospecting companies in order to confirm the commercial viability of the petroleum products in the state.
5. Bauchi state has a well-developed road network leading into and out of the capital city. Also, the presence of international airport and railway services that passes through the State linking other States in the North East region play an important role in facilitating commercial activities in the State