Nigeria’s economy recorded stronger growth in the second quarter of 2026, with real Gross Domestic Product (GDP) expanding by 4.43 percent year-on-year, according to the Federal Ministry of Finance.
Key Highlights
- GDP growth accelerates: Nigeria’s real GDP grew by 4.43% year-on-year in Q2 2026, up from 4.23% in Q2 2025.
- First-half growth improves: Real GDP growth reached 4.16% in H1 2026, compared with 3.68% in H1 2025.
- Manufacturing rebounds: Manufacturing growth increased to 3.24%, more than double the 1.60% recorded in Q2 2025.
- Agriculture strengthens: The agricultural sector grew by 4.39%, up from 2.82% a year earlier.
- Services remain dominant: The services sector expanded by 4.60%, compared with 3.94% in Q2 2025.
The figure represents an improvement from the 4.23 percent recorded in the corresponding quarter of 2025 and the 3.89 percent growth posted in the first quarter of 2026.
The ministry said the latest performance lifts Nigeria’s real GDP growth for the first half of 2026 to 4.16 percent, compared with 3.68 percent during the same period in 2025.
It also noted that economic expansion was becoming broader, with 27 subsectors recording real growth of more than three percent in the second quarter, compared with 23 sub-sectors in the same period last year.
The productive sectors recorded notable improvements during the period.
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Manufacturing growth rose to 3.24 percent from 1.60 percent in Q2 2025, while agriculture expanded by 4.39 percent, compared with 2.82 percent a year earlier.
The services sector, which remains the largest contributor to economic activity, also strengthened, growing by 4.60 percent compared with 3.94 percent in the corresponding period of 2025.
The Federal Ministry of Finance attributed part of the improvement in the economy’s dollar value to relative stability and appreciation in the naira.
According to the ministry, the naira appreciated by more than 12 percent between the first halves of 2025 and 2026, contributing to an estimated 17 percent expansion in the size of the Nigerian economy when measured in US dollar terms.
The ministry said sustained economic growth, alongside government social programmes, could help strengthen dollar-denominated incomes and improve living standards if the trend continues.
It further stated that the latest growth figures put Nigeria in a stronger position to consolidate its place among Africa’s largest economies and move towards the federal government’s target of achieving a $1 trillion economy by 2030.
The ministry also cited an International Monetary Fund projection which places Nigeria among the top 10 contributors to global real GDP growth in 2026, with the country expected to account for about 1.5 percent of global growth.
It said continued macroeconomic stability, stronger productive-sector performance and improved investor confidence could accelerate Nigeria’s economic expansion and potentially strengthen its position as Africa’s largest economy by 2028.
The government, however, stressed the need for policy consistency and continued implementation of its economic reforms to sustain the current momentum.
It said the focus remained on ensuring that improvements recorded in key economic indicators translate into better living conditions and broader prosperity for households across the country.
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