Nigeria: Economic Activities Expand Second Straight Month Despite Industry Contraction - - CBN

What the report says

Nigeria’s economy posted a second straight month of expansion in July 2026, according to the Central Bank of Nigeria’s latest Purchasing Managers’ Index report carried by Vanguard and distributed by AllAfrica. The composite PMI rose to 51.1, a level that indicates overall business activity improved modestly from the previous month.

The report said the gains were broad-based but uneven. Of the 32 subsectors surveyed, 20 expanded while 12 contracted. Agriculture remained the strongest segment, holding steady at 52.1 and extending its expansion run to 24 months. Services also moved back into growth territory at 51.1 after three months of contraction. By contrast, industry remained below the 50-point threshold at 49.6, showing continued weakness in manufacturing and related activities.

The CBN said the July reading pointed to a recovery in overall economic conditions, supported mainly by agriculture and services. The report also noted softer input and output price indices, which suggests some easing in cost pressures and selling prices. For policymakers and businesses, the data offers a mixed picture: broader activity is improving, but industrial performance still trails the rest of the economy.

More generally, PMI readings are used as a snapshot of private-sector momentum and are often watched for signs of growth trends before official output data become available.