President Bola Tinubu has said the World Bank’s latest Nigeria Development Update confirms that his administration’s economic reforms are yielding results, citing improved economic growth, increased government revenues and the stabilisation of poverty for the first time since 2019. In a statement issued on Sunday by his Special Adviser on Information and Strategy, Bayo Onanuga, the President said the October 2026 report, titled Beyond the Federal Purse: How Higher Revenues Reshaped State Priorities, showed that the reforms were putting the economy on a stronger footing for sustained growth.
According to the report, Nigeria’s economy grew by 4.2 per cent in the first half of 2026, compared with 3.9 per cent in the corresponding period of 2025, while growth is projected to average at least 4.4 per cent between 2026 and 2028. Inflation declined from 27.6 per cent in January 2025 to 15.2 per cent in December 2025, although rising global fuel prices linked to the Middle East conflict have slowed further reductions. The report also noted that the current account surplus rose to $12bn in the first half of 2026, while external reserves increased to $53.8bn at the end of August 2026.
The World Bank attributed a 69 per cent real increase in federation revenues between 2023 and 2025 to reforms introduced since 2023, with state governments emerging as the biggest beneficiaries. States increased capital spending by 151 per cent in real terms, directing much of the additional funds towards roads, transport, agriculture, energy and housing. Reacting to the findings, Tinubu said the removal of the petrol subsidy, foreign exchange market unification and stronger fiscal discipline had increased revenues, stabilised the economy and created room for governments to invest in development. He, however, acknowledged that more work was needed to improve living standards, reduce food prices and create decent jobs for young Nigerians.
The President pledged to sustain the reforms under the Renewed Hope Agenda, expand targeted cash transfers that he said had reached more than 10 million households, accelerate the rollout of Compressed Natural Gas and improve agricultural productivity, healthcare and education. He also urged state governments to manage their increased revenues prudently and prioritise projects that improve residents’ welfare. Tinubu commended the Economic Management Team, state governors and other stakeholders for supporting the reforms, assuring Nigerians that the Renewed Hope Agenda 2.0 would accelerate efforts to deliver shared prosperity across the country.
