monetary-policy

23/1/2026

World Bank Forecast: 2026 Is Set To Be Nigeria’s Biggest Economic Comeback Since 2016

World Bank Forecast: 2026 Is Set To Be Nigeria’s Biggest Economic Comeback Since 2016

Remember when your favorite Nollywood series finally hits the season finale and the plot twists actually start making sense? Well, according to the World Bank’s latest forecast, Nigeria’s economy just entered its 'Redemption Arc.'

After years of dodging subsidy dramas, Naira rollercoasters, and inflation that felt like a bad workout, Nigeria is officially on track for its fastest growth spurt in over a decade. We aren’t just walking anymore; the experts say we’re about to start sprinting at a 4.4% growth rate, beating the global average and leaving our neighbors in the rearview mirror.

If 2025 was the year of 'extreme sports' for the Nigerian economy (think: high-speed inflation and currency rollercoasters), 2026 is looking like the year we finally remember how to breathe.

Last week, the markets decided to 'calm down' for a bit. Between a new best-friend agreement with the UAE and the SEC telling stock market operators to 'show their bank alerts,' a lot went down. Let’s break it down into plain English.

Inflation is falling

Nigeria's 2025 inflation trend

Remember when inflation was at 34.8% and everyone was screaming? Well, the National Bureau of Statistics (NBS) just dropped the December 2025 numbers, and the headline inflation has crashed to 15.15%.

What happened? The 'base effect' (that annoying statistical ghost) has been tamed, and the tight grip the Central Bank has had on our money is finally working. This is a big green light. If prices keep behaving, the CBN might stop being so 'strict' and let interest rates drop a bit.

The SEC is doing 'security guard' work

The Securities and Exchange Commission (SEC) just dropped a bombshell; market operators need more money in their accounts.

If you’re a Broker-Dealer, your 'minimum balance' just jumped from ₦300 million to ₦2 billion. If you’re a Tier-2 Issuing House, it’s now ₦7 billion.

Why should you care?

This 'recapitalization' is like the SEC telling the boys to become men. It’s about making sure the people handling your investments don't 'fold' when things get shaky.

Expect some mergers and 'marriages of convenience' in the stock market soon.

The UAE connection

Nigeria and the UAE just signed a Comprehensive Economic Partnership Agreement (CEPA). Over 7,000 Nigerian products (like seafood, seeds, and cereals) can now enter the UAE duty-free.

The big picture shows that we’re moving from just 'sending raw stuff' to 'processing things.' Plus, UAE money is looking for a home in our green energy and infrastructure. We’re basically becoming the 'VIP entrance' for investors looking to enter the 3.4 trillion-dollar African market.

The World Bank is gushing about Nigeria

The World Bank’s latest report says Nigeria is set to grow by 4.4% in 2026.

Wait, is that good?

Yes! It’s faster than the global average and the best we’ve seen in a decade.

The secret sauce? It’s all thanks to our tech/finance sectors and the fact that we’ve finally started exporting refined petrol (shoutout to the refineries!).

Quick market snippets

The Naira held steady around ₦1,417/$; no wild jumps this week! Our foreign reserves account hit $45.86 billion; meaning we’re officially stacking cash, Gold hit an all-time high of $4,500, and oil (brent) is chilling at $64.40.

The bottom line for you

The next few weeks will see about ₦3.52 trillion hitting the system from maturing bonds and bills. This means there’s going to be a lot of cash flying around.

The global 'age of competition' is here, and while things are still a bit stormy out there, Nigeria is finally building a bigger, stronger boat to navigate the waves.

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