KPMG has projected that Nigeria’s economy will maintain its recovery path, with gross domestic product expected to expand by about 4.5 percent by 2026.
Speaking at the KPMG Audit Committee Seminar 2026, Wole Adelokun, Partner for Strategy and Customer Solutions at KPMG West Africa, said the outlook reflects improving macroeconomic fundamentals. He pointed to easing inflationary pressure, less restrictive credit conditions, and expectations of relative naira stability as key drivers of growth.
Inflation, while still projected to remain in double digits, is expected to moderate to between 11 and 13 percent over the medium term. According to Adelokun, tighter domestic monetary policy, reduced currency volatility, and softer global financial conditions should help slow price increases.
On the foreign exchange front, he projected that the naira could average around N1400 to the dollar, supported by stronger liquidity and improved market transparency. Rising external reserves, inflows from dollar-denominated loans, and reforms introduced by the Central Bank of Nigeria, including its Electronic Foreign Exchange Matching System, were cited as stabilising factors.
The News Chronicle understands that anticipated stability in oil production and expansionary fiscal spending ahead of the election cycle may also reinforce output growth, positioning Africa’s largest economy for steadier expansion despite lingering structural challenges.
