Nigeria: World Bank Report Shows Economic Reforms Working - Tinubu

What the report says

President Bola Tinubu has pointed to a recent World Bank assessment as evidence that Nigeria’s economic reforms are beginning to produce results. In comments reported by This Day and carried by AllAfrica, the president said measures introduced since 2023, including petrol subsidy removal, foreign exchange market unification and tighter fiscal discipline, have helped lift revenues, support growth and give federal and state governments more room to spend on development.

The World Bank’s October 2026 Nigeria Development Update, cited in the report, said the economy expanded by 4.2% in the first half of 2026, up from 3.9% a year earlier. It also said federation revenues rose sharply in real terms between 2023 and 2025, with states receiving the biggest boost and increasing capital spending on roads, transport, agriculture, energy and housing. The report also noted stronger external reserves, a current account surplus and signs that poverty had stabilised, while inflation remained high but was easing.

Tinubu used the findings to argue that the reforms are creating fiscal space and that more work is needed to turn macroeconomic gains into lower food prices and jobs. He said his administration plans to expand cash transfers, agricultural support and compressed natural gas transport, which it presents as a cheaper alternative for commuters and drivers. He also urged state governments to spend their higher revenues prudently.

The report matters because it comes amid continuing debate over the impact of Nigeria’s reforms on households, businesses and public finances. The World Bank’s view, as reported here, suggests some short-term macroeconomic improvement, even as living-cost pressures remain a major concern.