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Nigeria: World Bank expects robust growth of 4.4%

15/01/2026
Categories: Rate

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Growth Nigeria's economy is expected to strengthen over the next two years, according to the World Bank. In its economic outlook report World Cup 2026 published on Tuesday, the Bretton Woods institution forecasts a increase in the Nigerian gross domestic product of 4.4% in 2026 and 2027, after an estimated growth of 4.2% in 2025.

This improvement would be driven mainly by the continued expansion of service sector, especially in finance and technology of information and communication. The World Bank also mentions a resumption of agricultural production as well as a moderate growth in non-oil industries, helping to diversify the drivers of the economy.

According to the report, the economic reforms undertaken by the Nigerian authorities, in particular adjustments to the tax system and the maintenance of monetary policy prudent, should continue to support activity. These measures are called to strengthen the confidence of investors and to contribute to a new deceleration of inflation.

The increase Expected oil production should, in addition, make it possible to make up for the weakness in global crude prices. This dynamic would support tax revenues and would improve the country's external position, to a at a time when Abuja is seeking to consolidate its macroeconomic balances.

The Bank World highlights that Nigeria is among the main economies from sub-Saharan Africa where growth strengthened in 2025, contrasting with the slowdown in Ethiopia and the more moderate recovery registered in South Africa. Last year's performances were supported by more sustained activity in services, a recovery gradual development of agriculture and the emergence of the country as a net exporter of refined petroleum products, thanks to the increase in capacity national refining companies.

Despite these favorable prospects, the institution warns against the limitations associated with the solidity of institutions. Nigeria's past experience with fiscal reforms show that weak institutional frameworks sometimes have reduces the effectiveness of the rules put in place to reduce dependence on oil revenues and strengthen macroeconomic stability, leading to mixed results.

At the level regionally, the World Bank forecasts that growth in sub-Saharan Africa is expected to be around 4.0% in 2025, supported by a slowdown of inflation and higher-than-expected commodity prices, including for gold and precious metals. It should then accelerate to 4.3% in 2026 and 4.5% in 2027, thanks to the increase in investments and exports.

The institution cautions, however, that this improvement in prospects remains conditional on a stable external environment and significant progress in security in several fragile or conflict-affected countries. Elle Finally, recalls that, despite an expected slight decrease in debt ratios Public/GDP, high debt service costs continue to weigh on budgetary margins, limiting the ability of States to finance sustainably development.

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