PwC Sees Economic Stability, Projects 4.3% Growth For 2026

As Nigeria’s macroeconomic stability takes shape in 2026, PwC has projected that the country is set to see economic growth of around 4.3 per cent in the year, backed by easing inflation, a more stable exchange-rate environment, and more substantial external reserves.

PwC, in its Nigeria Economic Outlook 2026, stated that the improved economic projection was due to the key reforms implemented by the government in 2025.

According to the report, recent monetary and foreign-exchange policy adjustments have helped calm volatility and improve predictability in the operating environment, providing businesses with clearer signals for pricing, funding, and investment decisions.

PwC noted that the gains recorded in 2025 are now influencing strategic choices by companies in areas such as cost management, capital allocation, regulation, taxation and digital transformation. Commenting on the report, Sam Abu, country senior partner at PwC Nigeria, said the focus has shifted from stabilisation to translating recent gains into sustainable growth.

“PwC Nigeria’s Economic Outlook 2026 provides forward-looking analysis of key macroeconomic indicators and what they signal for the economy and for business leaders. Nigeria has achieved improved macroeconomic stability over the past year. The focus now is on how that stability is translated into sustainable economic growth and how businesses position themselves for 2026. For companies, this stability provides a more predictable operating environment for planning, investment, and growth decisions.”

PwC in its outlook identified seven major issues expected to shape Nigeria’s economic performance in 2026, cutting across both global and domestic dynamics. These include the effectiveness of monetary policy, fiscal sustainability and reform execution, global economic and geopolitical developments, domestic security and social pressures, uneven sectoral growth, constrained consumer purchasing power, and the expanding influence of the digital economy and artificial intelligence.

Partner and chief economist at PwC Nigeria, Olusegun Zaccheaus, said the interaction of these forces will define growth outcomes in the year ahead, with external conditions continuing to play a critical role. “The seven themes in the Outlook show how global and domestic forces will shape economic performance in 2026. Globally, growth is projected at around 3.1 per cent. In comparison, merchandise trade growth slows to about 0.5 per cent, keeping oil prices, capital flows, and access to foreign inflows as key channels influencing Nigeria’s growth and FX liquidity.

“Domestically, improved monetary effectiveness has reduced volatility and clarified pricing, cost, and funding signals, even as fiscal pressures, security challenges, and weak household purchasing power continue to shape sector outcomes.

Growth is more likely to remain concentrated in services and selected capital-intensive sectors, placing a premium on disciplined capital allocation and sector selection,” he said.

Looking ahead, PwC projects Nigeria’s real gross domestic product (GDP) growth at about 4.3 per cent in 2026, supported by a gradual moderation in inflation and a broadly stable naira. However, the firm warned that fiscal constraints are likely to persist, underscoring the need for capital efficiency and stronger balance-sheet discipline across both the public and private sectors.