Business confidence among Nigerian businesses declined slightly in June 2026 as rising operational costs and persistent macroeconomic challenges continued to weigh on corporate sentiment, according to the latest Business Expectations Survey (BES) released by the Central Bank of Nigeria (CBN).
The survey showed that the Business Confidence Index (BCI) fell to 7.2 points in June from 7.9 points recorded in May, indicating that while businesses remained optimistic overall, confidence softened during the month amid mounting cost pressures.
Despite the moderation, the apex bank noted that formal sector businesses maintained a positive outlook, buoyed by ongoing economic reforms and efforts to diversify the economy.
According to the CBN, businesses expect operating conditions to improve in the coming months, with the Business Confidence Index projected to rise to 17.6 points in July, 24.1 points over the next three months and 30.9 points within the next six months.
The survey identified high operational costs as the biggest challenge confronting firms, with respondents citing elevated financing costs, exchange rate fluctuations, insecurity, inadequate infrastructure and energy supply constraints as key factors affecting business performance.
Sectoral analysis showed that confidence remained positive across most sectors of the economy, although at varying levels. Agriculture recorded one of the strongest outlooks, while the industrial and services sectors also maintained optimism despite prevailing economic headwinds.
Businesses surveyed also expressed confidence that government policy reforms would gradually improve the macroeconomic environment and stimulate stronger economic activity over the medium term.
The findings come as the CBN continues to pursue monetary and financial sector reforms aimed at restoring price stability, strengthening investor confidence and supporting sustainable economic growth. However, the latest survey suggests that businesses are still grappling with the immediate impact of high operating expenses and broader macroeconomic uncertainties.
