President Bola Tinubu has announced that Nigeria’s economy grew by more than 4 per cent in 2026, citing significant contributions from both the oil and non-oil sectors.
The President attributed this expansion to improved foreign exchange stability, a reduction in inflation, and a notable increase in non-oil exports. This growth follows a period of intensive economic restructuring and policy adjustments aimed at stabilising the national currency and diversifying the country’s revenue base away from crude oil dependency.
According to the announcement regarding Nigeria’s economic performance, the stabilisation of the Naira has played a critical role in fostering a more predictable environment for both local businesses and international investors.
Drivers of 2026 economic expansion
The administration noted that while the oil sector remained a vital contributor to the national treasury, the non-oil sector provided the necessary momentum to achieve the 4 per cent growth rate. Sectors such as agriculture, manufacturing, and services have shown increased activity, helping to mitigate the impact of global oil price volatility on the national economy.
The strengthening of non-oil exports has been a central pillar of the current administration’s strategy to build foreign reserves and reduce the country’s heavy reliance on petroleum revenue. By incentivising diverse export streams, the government aims to create a more resilient macroeconomic framework that can withstand external shocks.
This shift towards a more diversified economy is intended to create more sustainable employment opportunities and reduce the fiscal deficit that has historically plagued the nation during periods of low oil prices.
Macroeconomic indicators and stability
Beyond sector-specific growth, the President highlighted the moderation of inflation as a key indicator of the success of recent economic policies. This improvement, alongside the stabilisation of the foreign exchange market, is intended to restore investor confidence and lower the overall cost of doing business in Nigeria.
The unification of exchange rate windows and the liberalisation of the forex market were major steps taken by the Central Bank and the administration to achieve this stability. While these reforms were initially met with significant challenges, the President’s report suggests they have begun to yield positive results in terms of currency predictability.
However, economic analysts continue to monitor how these macroeconomic improvements translate into the daily cost of living for the average Nigerian. While headline growth figures are positive, the immediate pressure of food inflation and energy costs remains a priority for the administration.
The National Bureau of Statistics (NBS) is expected to release a detailed report to provide the specific data breakdown and confirm the exact percentage contributions of each sector to the gross domestic product.
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