Nigeria is poised for its fastest economic growth in more than ten years, according to the World Bank. The global financial institution forecasts that the country’s economy will expand by 4.4 per cent in both 2026 and 2027, reflecting a notable upgrade from previous projections. This growth trajectory highlights the early impact of government reforms and a gradually improving macroeconomic environment.
The World Bank’s January 2026 Global Economic Prospects report raises Nigeria’s 2026 growth outlook from the 3.7 per cent projected in mid-2025. The revision comes as key sectors—including services, agriculture, and non-oil industry—show signs of recovery and resilience. Analysts note that this growth pace is unprecedented in the last decade, signaling potential stability after years of fluctuating performance.
Services remain the main engine of expansion, supported by rising consumer activity and cautious improvements in business confidence. Agriculture, rebounding from past disruptions, and modest gains in non-oil industrial activity are also contributing to the economic momentum. These sectors’ growth could have ripple effects on job creation, food security, and the broader fiscal landscape.
Crucial policy reforms, particularly in Nigeria’s tax system, alongside disciplined monetary measures, have helped stabilize the economy and attract investor confidence. The World Bank noted that higher oil output will offset the impact of lower international oil prices, further strengthening fiscal revenues and external balances, while reducing inflationary pressures over time.
Beyond Nigeria, the World Bank predicts Sub-Saharan Africa’s economy will grow by 4.3 per cent in 2026, driven by domestic investment and policy reforms. Globally, the world economy is expected to maintain resilience, with growth of 2.6 per cent in 2026, reflecting moderating inflation and stabilizing financial conditions, even amid ongoing geopolitical and climate-related risks.
source: The Sun