The Nigeria Economic Summit Group (NESG) says the nation’s economic reforms must now move decisively from stabilisation to policies that attract investment, boost productivity, and deliver inclusive growth.
Its Chairman, Mr. Yusuf Olaniyi, made the remarks at the launch of the 2026 Private Sector Outlook Report, titled “The Productivity Imperative for Nigerian Businesses”, on Thursday in Lagos.
Olaniyi said Nigeria had entered a “critical transition phase” in its reform journey, where macroeconomic gains must translate into tangible outcomes for businesses and households.
He noted that while recent policy measures improved key indicators, including growth and exchange rate performance, they had yet to significantly enhance firm-level productivity.
“The economy has begun recovering from prolonged instability, with GDP growth estimated at 3.9% and inflation moderating to about 3.3% in 2025, while the exchange rate has stabilised within a narrower band,” Olaniyi said.
“These improvements reflect early gains from fiscal and monetary reforms. However, reforms alone do not create growth. Investment, skills, and productivity drive real expansion,” he added.
He emphasized that sustaining investor confidence depends on consistent policy, regulatory credibility, and stronger institutional accountability.
“Nothing undermines confidence more than inconsistent policy signals. Investors need predictability to commit capital and scale operations,” he said.
Olaniyi highlighted structural constraints, such as high energy costs, weak infrastructure, limited access to finance, insecurity, and logistics inefficiencies, which continue to suppress productivity.
He also pointed to emerging risks for businesses, including weak consumer purchasing power, rising competition, talent shortages, cybersecurity threats, and geopolitical uncertainty.
“The business environment is becoming more complex. Companies must now compete not just on survival, but on efficiency, innovation, and scalability,” he noted.
He urged firms to move from resilience to transformation by prioritizing energy independence, diversified financing, talent retention, supply chain localisation, and stronger cybersecurity investment.
For policymakers, Olaniyi said the next phase must bridge the gap between macroeconomic progress and enterprise-level performance.
“Policy reform must now be matched with targeted interventions that reduce production costs, improve infrastructure, and expand access to finance,” he said.
Also speaking, Director-General of the African Development Bank (AfDB) Nigeria Office, Mr. Abdul Kamara, said Nigeria and other African economies are undergoing necessary reforms to unlock long-term growth.
He acknowledged that while macroeconomic indicators are improving, structural challenges—such as infrastructure gaps, limited value addition, and weak industrial capacity—remain major constraints.
“These are not short-term issues. They require sustained investment in transport, energy, water, sanitation, and agro-industrial development,” Kamara said.
He noted that the AfDB is working closely with the Nigerian government on a long-term strategy to strengthen productive sectors and expand private sector participation.
Kamara said the focus must now shift from reform implementation to “post-reform consolidation,” where policy gains are converted into real economic value.
“The central question is no longer whether Nigeria can reform, but how it can convert reforms into inclusive, investment-driven growth,” he said.
He stressed that Africa’s development priorities must align with private sector growth, emphasizing the need to unlock financing, improve competitiveness, and remove regulatory bottlenecks.
Kamara added that the AfDB would continue supporting initiatives to strengthen infrastructure and improve the business environment.
