Government targets transition from stabilisation to expansion as Nigeria pursues $1 trillion GDP ambition
The Federal Government has announced a far-reaching 2026 Growth Acceleration and Investment Mobilisation Strategy, designed to boost economic expansion, create jobs, and attract large-scale domestic and foreign investment as Nigeria shifts from stabilisation to growth.
The strategy was disclosed in a statement released by the Federal Ministry of Finance (FMF) on January 1, 2026, outlining the government’s fiscal, monetary, and structural priorities for the year.
According to the Ministry, the new agenda builds on reforms carried out over the past two years and aims to strengthen macroeconomic stability, unlock private capital, and position Nigeria on a credible path toward achieving a $1 trillion Gross Domestic Product (GDP) by 2036.
From Stabilisation to Growth
The Ministry of Finance said 2026 marks a turning point under the Tinubu Administration, signalling a move away from crisis stabilisation toward growth-driven reforms.
It noted that key policy actions including exchange rate unification, energy market reforms, and fiscal consolidation have laid the groundwork for a second phase focused on productivity, capital formation, and accelerated economic growth.
The government said its goal is to decisively reduce investment risk, crowd in private capital, and ensure sustainable returns for investors, while expanding economic opportunities for Nigerians.
Three Pillars of the 2026 Agenda
The 2026 strategy is anchored on three core principles aimed at restoring investor confidence and supporting long-term growth.
The first is macroeconomic predictability, with emphasis on inflation control, exchange rate stability, and consistent fiscal policies to reduce uncertainty for businesses.
The second pillar is the creation of clear sector-specific investment pathways, supported by defined priority sectors, incentives, and regulatory clarity to guide capital allocation.
The third is disciplined policy execution, focusing on credibility, consistency, and the avoidance of sudden policy reversals that could undermine investor confidence.
Capital Formation and Financial Market Reforms
Capital formation sits at the heart of the government’s 2026 growth plans. The Ministry said reforms will be implemented to deepen Nigeria’s capital and insurance markets, expand access to long-term local currency financing, and improve market liquidity and transparency.
Planned measures include stronger investor protections and increased participation by pension funds and insurance companies in productive investments.
The government also plans to deploy blended finance tools, credit enhancements, and first-loss capital in collaboration with development finance institutions (DFIs) to attract private and foreign investors.
To promote inclusive growth, authorities said access to consumer credit and financial services will be expanded, particularly for households, microenterprises, and informal sector participants.
The Ministry said it will collaborate with the Central Bank of Nigeria (CBN), commercial banks, microfinance institutions, fintech companies, and credit guarantee schemes to scale responsible consumer lending, with special focus on women- and youth-led businesses and underserved communities.
Expanded Role for Development Finance Institutions
Under the new framework, the Ministry of Finance will assume development finance quasi-fiscal responsibilities previously managed by the CBN and will issue updated guidelines for a forward-looking development finance strategy.
Key domestic DFIs, including the Bank of Industry (BOI) and NEXIM Bank, are expected to play a stronger role in de-risking priority sectors, mobilising long-term capital, and anchoring investor confidence.
Reforms will target improved capitalisation, stronger governance, enhanced risk-sharing capabilities, and closer alignment with the Ministry of Finance.
Fiscal Sustainability and Public Sector Efficiency
On fiscal sustainability, the government plans to strengthen non-oil revenue mobilisation through better compliance, expanded digital revenue systems, and the rollout of a Federal Revenue Optimization Platform (RevOps) starting January 1, 2026.
Additional measures include stricter cash management through the Treasury Single Account, domestic debt restructuring to ease short-term interest pressures, and improved coordination with the CBN to reduce government financing costs.
The Ministry also said public sector productivity will be boosted through digitised workflows, streamlined approvals, and faster decision-making across ministries, departments, and agencies.
Why It Matters
Nigeria’s 2026 growth strategy reflects a deliberate shift toward private sector-led economic expansion at a time of intense global competition for investment capital.
By prioritising policy coordination, sector clarity, capital market depth, and disciplined execution, the government is seeking to translate recent reforms into concrete outcomes such as job creation, income growth, and reduced dependence on oil revenues.
If effectively implemented, the strategy could significantly reshape Nigeria’s growth trajectory and strengthen its standing as a leading investment destination in Africa.
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