Nigeria Set for Strongest Economic Growth in Over a Decade, World Bank
Nigeria’s economy is projected to expand at its fastest pace in more than ten years in 2026, according to the World Bank’s latest economic outlook. The Washington-based lender has raised its forecast for Nigeria’s real GDP growth to 4.4 per cent for both 2026 and 2027, up from earlier estimates of 3.7 per cent and 3.8 per cent in the June 2025 edition of the Global Economic Prospects report.
The upgrade reflects rising confidence in the country’s macroeconomic performance and suggests that the West African nation is on track to record its strongest growth in over a decade. Growth in 2025 was estimated at about 4.2 per cent, led by robust expansion in the services sector, particularly finance and information and communication technology, a modest rebound in agriculture, and Nigeria’s emergence as a net exporter of refined petroleum products.
The World Bank attributed the enhanced outlook to continued momentum in services, improving agricultural output, and a modest recovery in non-oil industrial activity. It also pointed to ongoing economic reforms, especially in the tax system, and a prudent monetary policy stance as key supports for economic activity, investor confidence and inflation moderation. Higher domestic oil output is expected to help offset weaker global oil prices, boosting fiscal revenues and strengthening external balances.
Despite the positive trajectory, the Bank cautioned that long-standing structural challenges, such as weak institutional frameworks and vulnerabilities from oil revenue dependence, must be addressed to sustain durable and inclusive growth.
Regionally and globally, the World Bank report noted that Sub-Saharan Africa’s overall growth is expected to strengthen, while world GDP growth is projected to remain resilient, moderating slightly in 2026 before rising in 2027.
Economy watchers see the revised World Bank outlook as a welcome signal that recent reform efforts may be bearing fruit, even as policymakers grapple with inflation, unemployment and broader development challenges.