President Bola Ahmed Tinubu has welcomed the World Bank's October 2026 Nigeria Development Update, which confirms that the administration's economic reforms are yielding positive results. The report, titled Beyond the Federal Purse: How Higher Revenues Reshaped State Priorities, indicates that the economy grew 4.2 per cent in the first half of 2026, up from 3.9 per cent in the first half of 2025. This growth is attributed to the administration's reforms despite the impact of the conflict in the Middle East.
According to the World Bank report, the poverty rate in Nigeria has stabilised for the first time since 2019. The Bank expects poverty to decline gradually as GDP grows faster than the population. President Tinubu's Special Adviser on Information and Strategy, Bayo Onanuga, stated that the report shows the economy is on a strong footing. The President noted that the reforms have raised federation revenues by 69 per cent in real terms between 2023 and 2025, with states being the largest beneficiaries.
The World Bank report also noted a decline in inflation from 27.6 per cent in January 2025 to 15.2 per cent in December 2025. However, higher global fuel prices linked to the Middle East conflict have slowed the decline. The Bank expects inflation to ease to about 12 per cent by 2028. Additionally, internally generated revenue grew in real terms in 31 of 35 states, and 21 states reduced their debt-to-GDP ratio between 2021 and 2025.
The report credited the administration's reforms since 2023 with raising federation revenues and creating fiscal space for every tier of government to invest in its people. The Presidency stated that the difficult but necessary decisions to remove the petrol subsidy, unify the foreign exchange market, and strengthen fiscal discipline have raised revenues and stabilised the economy. President Tinubu emphasized that more work remains to ensure the dividends of reform fully translate into better living standards for every household.
President Tinubu assured Nigerians that his administration will stay the course of reform and redouble its focus on inclusive growth under the Renewed Hope Agenda. The administration will continue to expand targeted cash transfers, which have already reached more than 10 million households. It will also accelerate the deployment of CNG, raise agricultural productivity, and improve access to affordable healthcare and quality education.
President Tinubu urged state governments to use their higher revenues more prudently and prioritise projects that improve the living standards of Nigerians, and the health and education of the people. He commended the Economic Management Team led by the Minister of Finance and Coordinating Minister of the Economy, state governors, and all stakeholders for their cooperation in implementing these reforms.
The President assured Nigerians that the best is yet to come under the Renewed Hope Agenda 2.0, which will accelerate the delivery of shared prosperity for all Nigerians. The World Bank projects growth to average at least 4.4 per cent between 2026 and 2028, and Nigeria's overall public debt is expected to fall from 40.0 per cent of GDP in 2025 to 38.1 per cent in 2026.
Key points
- The World Bank report confirms that Nigeria's economic reforms are delivering results, with the economy growing 4.2 per cent in the first half of 2026.
- The poverty rate in Nigeria has stabilised for the first time since 2019 and is expected to decline gradually as GDP grows faster than the population.
- The administration's reforms have raised federation revenues by 69 per cent in real terms between 2023 and 2025, with states being the largest beneficiaries.
