Abuja: A Nigerian think tank, the Independent Media and Policy Initiatives (IMPI), along with other institutional and individual analysts, have observed that Nigeria’s economy is currently experiencing growth. The IMPI has advised President Bola Tinubu to ensure that the upcoming 2027 election cycle does not impede the progress of ongoing economic reforms.
According to News Agency of Nigeria, the Chairman of IMPI, Omoniyi Akinsiju, emphasized this point during a news conference held in Abuja. Akinsiju urged President Tinubu to continue with the economic reforms to ensure that ordinary Nigerians, not just investors, benefit from the changes. He noted that experts who have objectively reviewed the economic restructuring under the Tinubu administration have given a positive outlook on the economy as a result of these reforms.
Akinsiju highlighted the recent upgrade of Nigeria’s credit rating by Moody’s, which raised the rating from ‘Caa1’ to ‘B3,’ citing improvements in Nigeria’s external and fiscal positions. Following Moody’s upgrade, Fitch Ratings also improved Nigeria’s sovereign credit rating to B with a stable outlook, reflecting increased confidence in the government’s commitment to policy reforms initiated since June 2023.
He further mentioned that the World Bank, despite potential political repercussions, has consistently praised Nigeria’s economic reforms. In its Nigeria Development Update report titled “Building Momentum for Inclusive Growth,” the World Bank pointed out that improvements in fiscal conditions were primarily due to increased federation revenue, leading to a positive economic outlook.
Akinsiju noted that economic growth surged to 4.6% year-on-year in the last quarter of 2024, resulting in a full-year growth of 3.4% for 2024, marking the highest growth rate since 2014, aside from the COVID-19 rebound period.
Additionally, Akinsiju referenced an analysis by the London-based Financial Times, which reported that Nigeria is in a better economic position than it has been in the past decade, halfway through President Tinubu’s first term. However, the report also acknowledged the severe cost of living crisis affecting many Nigerians.
Despite challenges such as high unemployment, Akinsiju indicated signs of job creation in 2024, driven by economic growth and sector-specific initiatives. He stated that the services sector has significantly contributed to boosting employment, although issues like youth unemployment remain a concern.