Precious Nwonu, Enugu
President Bola Tinubu has described the World Bank’s latest assessment of Nigeria’s economy as evidence that his administration’s economic reforms are yielding results, citing improvements in economic growth, government revenue and external reserves.
Tinubu’s position was contained in a statement issued on Sunday by his Special Adviser on Information and Strategy, Bayo Onanuga, following the release of the World Bank’s October 2026 Nigeria Development Update, titled Beyond the Federal Purse: How Higher Revenues Reshaped State Priorities.
The President said the report indicated that the country’s economy was becoming more stable and better positioned for sustained growth, while noting that poverty had stabilised for the first time since 2019.
According to the statement, the World Bank reported that Nigeria’s economy grew by 4.2 per cent in the first half of 2026, compared with 3.9 per cent during the corresponding period in 2025.
The bank projected that economic growth would average at least 4.4 per cent between 2026 and 2028, while poverty was expected to decline gradually as economic growth outpaced population growth.
On inflation, Tinubu said the report showed that the rate fell from 27.6 per cent in January 2025 to 15.2 per cent in December of the same year.
However, the statement noted that higher global fuel prices linked to the conflict in the Middle East had slowed the decline in inflation. The World Bank expects inflation to ease to about 12 per cent by 2028.
The President also highlighted improvements in Nigeria’s external position, saying the country’s current account surplus rose to $12bn, representing seven per cent of gross domestic product, in the first half of 2026.
This compared with $8.6bn recorded in the corresponding period of 2025.
According to the statement, gross external reserves increased from $45.5bn at the end of 2025 to $53.8bn at the end of August 2026.
Tinubu further said the World Bank attributed a 69 per cent real-term increase in federation revenue between 2023 and 2025 to reforms introduced by his administration, with state governments emerging as the largest beneficiaries.
He said states used the additional revenue to increase capital expenditure by 151 per cent in real terms over the same period.
The statement identified roads and other transport infrastructure, agriculture, energy and housing as major areas that benefited from the increased spending.
It added that 29 of 33 states shifted more of their spending towards economic infrastructure, while real social spending per person increased in all but one state.
The President also cited the report’s findings that internally generated revenue rose in real terms in 31 of 35 states, while 21 states reduced their debt-to-GDP ratios between 2021 and 2025.
Nigeria’s overall public debt was projected to decline from 40 per cent of GDP in 2025 to 38.1 per cent in 2026, according to the statement.
Tinubu said the findings reinforced his administration’s position that the removal of petrol subsidy, unification of the foreign exchange market and efforts to strengthen fiscal discipline had increased government revenue and created more resources for public investment.
“The dividends of reform are becoming visible. But more work remains to ensure they fully translate into better living standards for every household, starting with lower food prices and decent jobs for our young people,” he said.
He added that the government would continue implementing its Renewed Hope Agenda, with a stronger focus on inclusive growth and improved living conditions.
Tinubu said the administration would expand targeted cash transfers, which he stated had reached more than 10 million households, accelerate the deployment of compressed natural gas, improve agricultural productivity and widen access to affordable healthcare and quality education.
He also urged state governments to manage their increased revenues prudently and prioritise projects that would improve living standards, healthcare and education.
The President commended the Economic Management Team, led by the Minister of Finance and Coordinating Minister of the Economy, alongside state governors and other stakeholders, for their role in implementing the reforms.
He said the government remained committed to accelerating the delivery of shared prosperity under the Renewed Hope Agenda 2.0.











