Nigeria Economic Outlook: August 2026

Nigeria can broaden reform gains by tackling structural constraints to inclusive growth

PwC’s H2 2026 Economic Outlook identifies four actions to strengthen household welfare, support business growth, raise productivity and unlock productive investment

Lagos, 20 August 2026: Nigeria can broaden the gains from recent economic reforms by addressing the structural constraints limiting their impact on households and businesses, according to PwC Nigeria’s H2 2026 Nigeria Economic Outlook.

Nigeria’s macroeconomic position improved during the first half of 2026. Real GDP grew by 3.89% year-on-year in the first quarter, up from 3.13% in the same period of 2025. Exchange-rate conditions improved, while external reserves rose to $51.46 billion. These gains provide a stronger base for translating stability into inclusive growth.

PwC Nigeria’s Outlook identifies four actions for unlocking a broader reform dividend.

First, scale up targeted support for consumers and reduce food, energy and transport costs to strengthen household purchasing power.

Second, expand access to affordable, longer-term finance and reduce the operating constraints limiting MSME growth and job creation.

Third, prioritise power, transport, broadband, security, education and workforce development to lower business costs and raise productivity. 

Fourth, build a stronger pipeline of bankable projects and address the approval, land, financing and foreign-exchange bottlenecks delaying investment and job creation.

PwC projects that Nigeria’s economy will grow by 4.2% in 2026, supported by higher crude oil production and stronger performance in key sectors.