Echotitbits – Nigeria News

Tag: GDP growth

  • Manufacturing Sector Accesses N68.7 Trillion in Bank Loans

    Manufacturing Sector Accesses N68.7 Trillion in Bank Loans

    New data from the Central Bank of Nigeria (CBN) reveals that manufacturers have accessed a staggering N68.7 trillion in credit facilities over the last nine months. According to The Guardian, this surge in lending is part of a broader effort to stimulate industrial growth and reduce the country’s dependence on imports. The loans are reportedly being utilized for facility upgrades, raw material acquisition, and expansion of production lines across various sub-sectors.

    In an update published by ThisDay, the CBN noted that while credit access has improved, the manufacturing sector still faces significant hurdles, including high interest rates and energy costs. The report highlights that the apex bank is working on further interventions to ensure that the credit results in tangible GDP growth. BusinessDay validated the report, quoting a manufacturer: “While the volume of credit is high, the cost of servicing these loans remains a heavy burden on our margins.”

    Reporting by Tribune indicates that the Manufacturers Association of Nigeria (MAN) has called for more specialized windows for long-term, low-interest funding. A MAN representative stated, “Access to credit is only one half of the equation; we need a stable power supply and better infrastructure to make this capital truly productive.” This highlights the ongoing tension between financial liquidity and the ease of doing business in Nigeria.

    Echotitbits take:

    The massive credit injection into manufacturing is a gamble on the sector’s ability to drive Nigeria’s economic recovery. However, with inflation still a concern, the “high borrowing costs” mentioned by MAN could lead to a cycle of debt if production doesn’t scale rapidly. Watch for the next GDP report to see if this N68.7 trillion translates into a manufacturing-led growth spike.

    Source: The Guardian – https://guardian.ng/news/manufacturers-access-n68-7tr-bank-loans-in-nine-months-says-cbn/, February 9, 2026

    Photo credit: The Guardian

  • Finance Minister Targets 7% Economic Growth via Private Investment

    Finance Minister Targets 7% Economic Growth via Private Investment

    As reported by Punch on February 4, 2026, Nigeria’s Minister of Finance has reasserted the government’s commitment to achieving a 7% economic growth rate by 2027. The Minister emphasized that the primary driver for this ambitious target would be the scaling up of private sector investments and the continuation of aggressive fiscal reforms aimed at deregulating key sectors like energy and transport.

    The administration’s strategy involves leveraging public-private partnerships (PPPs) to address the country’s infrastructure deficit. The Minister noted that Nigeria is “ready to collaborate with global partners” to deliver inclusive growth, particularly in the digital economy and clean energy sectors, which are seen as the next frontiers for Nigerian development.

    Validation of this economic outlook comes from ThisDay and Leadership. ThisDay reports that “global investors are showing renewed interest in Nigeria’s energy sector,” quoting a Standard Chartered analyst who says, “The 7% target is achievable if the current reform momentum is sustained.” Leadership also highlights the role of the Nxtra Data Centre in Lagos as a model for private-led growth, with a tech executive stating, “Digital infrastructure is the backbone of the new Nigerian economy.”

    Echotitbits take: A 7% growth target is highly ambitious given the current inflationary environment. However, the focus on private investment rather than government spending is a shift in the right direction. The key challenge will be ensuring that this macro-level growth trickles down to reduce the high unemployment rate and poverty levels.

    Source: The Punch – https://punchng.com/reforms-private-investment-crucial-for-7-growth-edun/, February 4, 2026

    Photo credit: The Punch

  • Nigeria Projected to Reach 5.5% GDP Growth as Economic Reforms Gain Traction

    Nigeria Projected to Reach 5.5% GDP Growth as Economic Reforms Gain Traction

    According to reporting by The Nation Newspaper, the Nigerian Economic Summit Group (NESG) has released a bullish forecast for the 2026 fiscal year, predicting a 5.5% expansion in the nation’s Gross Domestic Product. The group attributes this optimistic outlook to the maturation of bold policy shifts, including the stabilization of the foreign exchange market and a steady decline in headline inflation. This projection suggests that the “crisis conditions” which characterized the previous two years are finally giving way to a more sustainable growth trajectory.

    The NESG’s assessment emphasizes that while the macroeconomic indicators are turning green, the government must prioritize the institutionalization of these reforms to ensure they translate into tangible improvements in the welfare of citizens. The report highlights that the private sector is regaining confidence, which is expected to drive investment in critical sectors like manufacturing and agriculture throughout the year.

    Validation of this positive trend is found in reports from Vanguard News and S&P Global. Vanguard notes that PwC experts also see a brightening outlook for 2026, though they caution that “the gains remain fragile and highly exposed to oil market volatility.” Meanwhile, S&P Global’s latest analysis supports the growth narrative, stating, “We forecast Nigeria’s real GDP growth will average 3.7% to 5.5% over 2025-2026, supported by both the non-oil and oil sectors.”

    Echotitbits take: The 5.5% growth target is ambitious but achievable if the current exchange rate stability holds. However, the disconnect between GDP growth and the cost of living remains a significant political risk for the administration. Watch for the Q1 2026 productivity data to see if the manufacturing sector actually picks up the slack as predicted.

    Source: The Punch – https://punchng.com/impi-projects-nigerias-gdp-to-hit-5-5/ , February 3, 2026

    Photo credit: The Punch

  • Creative Sector Identified as Primary Driver for 2026 GDP Growth

    Creative Sector Identified as Primary Driver for 2026 GDP Growth

    Figures cited by Leadership from the Minister of Interior, Olubunmi Tunji-Ojo, indicate that the creative sector is being prioritized as a primary engine for Nigeria’s economic growth in 2026. Following a strategic meeting with the leadership of the Theatre Arts and Motion Pictures Practitioners Association of Nigeria (TAMPAN), the government pledged to create a more enabling environment for filmmakers, musicians, and digital creators. The sector is expected to play a critical role in the government’s plan to bring 10 million Nigerians into productive economic activity.

    The Minister emphasized that the “orange economy” has the potential to generate massive foreign exchange and create jobs for the youth at a faster rate than traditional manufacturing. Plans are underway to provide better copyright protection and access to low-interest loans for creative projects. This shift reflects a broader policy move to diversify the economy away from oil and leverage Nigeria’s cultural influence globally.

    The story was also reported by The Punch and ThisDay. The Punch noted that “TAMPAN has requested for a dedicated creative industry bank,” while ThisDay highlighted that “creative exports could account for 5% of Nigeria’s GDP by 2027.”

    Echotitbits take:

    The government is finally putting its money where its mouth is regarding Nollywood and the music industry. By involving the Ministry of Interior, they are also likely looking at “visa facilitation” for international crews coming to film in Nigeria. Watch for the rollout of the “Creative Industry Fund” in the Q2 budget.

    Source: The Punch – https://punchng.com/creative-sector-key-to-growth-tunji-ojo/ , January 31, 2026

    Photo credit: The Punch

  • PwC Forecasts 4.3% GDP Growth for Nigeria in 2026, Cites Reforms and Digital Shift

    PwC Forecasts 4.3% GDP Growth for Nigeria in 2026, Cites Reforms and Digital Shift

    Insights from The Punch show PwC Nigeria is projecting a 4.3% expansion in Nigeria’s GDP in 2026, pointing to energy sector recovery and ongoing digital transformation in financial services.

    The report also linked growth prospects to sustained reform momentum, including fiscal adjustments and improvements in oil-region security.

    PwC flagged risks around inflation and external shocks, warning that poorly managed transitions could squeeze SMEs.

    **Echotitbits take:** The projection is achievable—but only if reforms translate into investment, stable prices and inclusive growth. Watch for policy clarity and execution speed, especially around taxes, FX and energy.
    Source: BusinessDay — https://businessday.ng/business-economy/article/nigerias-tax-to-gdp-ratio-seen-rising-in-2026-as-reforms-kick-in/ 2026-01-08

    Photo Credit: BusinessDay

  • CBN projects faster growth and stronger reserves in 2026 as inflation eases

    CBN projects faster growth and stronger reserves in 2026 as inflation eases

    According to Premium Times, the CBN’s 2026 macro outlook projects faster economic expansion alongside further inflation moderation and stronger external buffers.

    The baseline assumes reform momentum continues—supporting business confidence, improving FX market credibility, and lifting investment planning if volatility stays contained.

    On prices, the outlook points to headline inflation easing further in 2026 as food and energy pressures cool and supply conditions improve, though risks remain from oil-output shocks and fiscal slippages.

    CBN also sketches a fiscal picture that still requires revenue reforms and expenditure discipline to avoid renewed macro stress.

    Vanguard reported the central bank forecast includes “a 4.49 per cent growth in GDP” and external reserves rising to “$51.04 billion.” Leadership similarly highlighted that CBN “forecasts $51bn external reserves in 2026.”

    Echotitbits take: This is cautious optimism, not a victory lap. Watch oil output, FX liquidity, and whether fiscal discipline holds—those will decide if the forecast becomes reality.

    Source: Premium Times – https://www.premiumtimesng.com/news/top-news/846528-nigerian-economy-expected-to-grow-4-49-in-2026-inflation-to-ease-cbn.html December 30, 2025
    Premium Times December 30, 2025

    Photo Credit: Premium Times

  • Non-Oil Sector Projected to Drive Nigerian Economic Growth in 2026

    Non-Oil Sector Projected to Drive Nigerian Economic Growth in 2026

    In an update published by The Guardian, the Director General of the Abuja Chamber of Commerce and Industry (ACCI), Agabaidu Jideani, has projected that Nigeria’s economic expansion this year will be predominantly fueled by non-oil contributions. Jideani noted that while security and political distractions remain significant risks, the momentum gained in sectors like agriculture, technology, and manufacturing late last year provides a solid foundation for ‘guarded optimism’ in the 2026 fiscal cycle.

    The ACCI chief highlighted that the stabilization of the Naira, which closed 2025 at approximately ₦1,445–₦1,465 per dollar, is a critical buffer against imported inflation. Furthermore, the 2026 budget’s heavy allocation toward intelligence and counter-terrorism—totaling over ₦5.4 trillion—is viewed as a necessary expenditure to protect the nation’s burgeoning non-oil trade routes from persistent banditry and disruption.

    Supporting analysis from Channels TV and Daily Post echoes this economic sentiment. Channels TV reported that ‘CBN’s Purchasing Managers’ Index (PMI) rising to 57.6 points signals strengthening economic activity,’ while Daily Post featured an economist’s view: ‘The shift away from oil dependency is no longer a choice but a survival strategy for the 2026 budget.’

    Echotitbits take: Guarded optimism is the keyword here. While the non-oil sector is growing, it is still vulnerable to the ‘political maneuvering’ Jideani warned about as 2027 election preparations begin. Business owners should watch for how the ₦5.4 trillion security spend translates into actual safety on the Lagos-Kano and Port Harcourt-Enugu trade corridors.
    Source: The Guardian – https://guardian.ng/business-services/2026-gdp-growth-projected-at-4-1-amid-non-oil-sector-expansion/ January 5, 2026

    Photo Credit: The Guardian

  • CPPE: 2026 stability hinges on sustaining reforms, but manufacturing remains fragile without cost relief

    CPPE: 2026 stability hinges on sustaining reforms, but manufacturing remains fragile without cost relief

    2026-01-02 09:00:00
    In an analysis published by The Guardian, the Centre for the Promotion of Private Enterprise (CPPE) projects Nigeria could see greater stability and growth in 2026 if reforms are sustained, but cautions that manufacturing remains fragile under persistent structural constraints.

    The analysis highlights how energy, logistics and financing costs continue to weigh on factories, arguing that macro stability alone won’t lift the real sector without targeted execution that reduces operating costs.

    CPPE’s framing is that reform continuity must translate into measurable improvements in business conditions, otherwise growth remains narrow and disconnected from jobs and purchasing power.

    Validation: Vanguard echoed the execution theme, reporting that gains hinge on “effective execution” of incentives and enabling measures. AllAfrica reinforced CPPE’s structural-risk warning and quoted: “Nigeria’s manufacturing revival hinges on managing structural risks…”

    Echotitbits take: Reforms must translate into lower production costs. Watch early-2026 signals—grid stability versus self-generation expense, FX predictability for inputs and whether tax changes simplify compliance rather than create new leak points.

    Source: The Guardian — 2025-12-29 (https://guardian.ng/business-services/cppe-projects-stability-growth-in-2026-with-sustained-reforms/)
    The Guardian 2025-12-29

    Photo Credit: The Guardian

  • CBN flags 2026 growth at 4.49%, expects inflation slide to 12.94%

    CBN flags 2026 growth at 4.49%, expects inflation slide to 12.94%

    2025-12-31 09:00:00

    According to The Nation, the Central Bank of Nigeria’s latest macro outlook projects real GDP growth of about 4.49% in 2026, while average inflation is expected to ease to roughly 12.94% as reforms, forex stability and improved output begin to bite.

    The outlook points to a mix of stronger non‑oil activity and a steadier external position, with the apex bank signalling that structural reforms and better macro coordination could support a more durable recovery.

    Markets will watch whether the assumptions—especially oil output and FX conditions—hold into Q1 2026, and how the forecast shapes monetary-policy expectations.

    Reuters also reported that the CBN “forecasts 4.49% economic growth” and sees inflation “easing to an average 12.94% in 2026,” while BusinessDay similarly wrote that Nigeria’s economy is “projected to expand by 4.49 percent in 2026.”

    Echotitbits take: The headline numbers look optimistic versus Nigeria’s recent inflation experience. The real test is whether disinflation is driven by supply (food, logistics, energy) and FX stability—not just base effects. Watch Q1 inflation prints and CBN messaging on rates/liquidity.

    Source: Guardian — December 31, 2025 (https://guardian.ng/business-services/cbn-projects-4-49-growth-lower-inflation-in-2026-outlook/)

    Guardian December 31, 2025

    Photo Credit: Guardian