Nigeria Posts Strongest Economic Growth in a Decade – World Bank
The Nigerian economy experienced its fastest annual growth in ten years in 2024, propelled by significant reforms and a rebound in key sectors, according to the World Bank’s latest Nigeria Development Update released Monday in Abuja.
The report states that Nigeria’s real GDP rose by 4.6% year-on-year in Q4 2024, bringing total annual growth to 3.4%—the strongest performance since 2014, excluding the short-term rebound in 2021–2022 after the COVID-19 pandemic.
Growth was largely driven by the ongoing recovery in the oil and gas sector and notable gains in the technology and financial services industries, the bank noted.
In contrast, agriculture lagged behind, growing by only 1.2% in 2024. The slow pace was attributed to persistent insecurity in the Middle Belt region and soaring input costs that continue to strain farmers.
Looking ahead, the World Bank projects that Nigeria’s economy will grow by 3.7% in 2025, describing the outlook as “mildly higher.”
Despite the positive growth figures, inflation remains a pressing issue. The bank described inflation as “high and sticky” and forecasted a gradual decline to an average of 22.1% in 2025.
“Nigeria has made impressive strides to restore macroeconomic stability,” said Taimur Samad, acting World Bank country director for Nigeria.
Since assuming office in May 2023, President Bola Ahmed Tinubu has initiated sweeping economic reforms aimed at addressing fiscal challenges. These include the removal of fuel subsidies and the unification of foreign exchange rates—moves praised by international observers but met with public frustration.
However, these reforms have come at a steep cost. Millions of Nigerians now face the worst cost-of-living crisis in a generation, struggling with surging food prices, energy bills, and transportation costs.
