Economy
Nigeria’s global competitiveness ranking inches up now 115 out of 140– FG
Nigeria has been ranked as 115th out of 140 countries assessed in the 2018 Global Competitiveness Report (GCR) of the World Economic Forum. The report, which was released on October 17th 2018, shows improved performance across key enabling business environment indicators, and suggests an overall improvement in the country’s competitiveness. The GCR of the World Economic Forum is an annual ranking which compares the national competitiveness environment of 140 countries based on 12 pillars – four grouped under basic requirements, six under efficiency enhancers and two under innovation and sophistication factors.
A statement issued by Dr. Jumoke Oduwole Senior Special Assistant to the President on Industry, Trade and Investment said “the index is supplemented by an executive opinion survey of the local business community and organised private sector. Beyond the rankings, the GCR offers comparative insights based on the competitive business conditions as reported by the organised private sector in surveyed countries. The following are a few insights we can learn from the 2018 report about Nigeria’s improving competitiveness, Nigeria improved in the area of “Enabling Environment”. The country improved in 3 out of 4 pillars classified as “Enabling Environment” pillars – i.e., Institutions, Infrastructure, ICT adoption and macro-stability pillars. This recognizes the enabling business environment reforms of the Federal Government in making Nigeria an easier place to do business in. Nigeria is ranked top 100 in terms of “Business Dynamism”. The Report further acknowledges the positive perception of the private sector for the government’s Doing Business reforms, by scoring improvements in the time and cost of starting a business in the country”.
According to him the report said “Nigeria’s inflation rate has steadily declined to near single-digits since 2017. Although the report records Nigeria’s annual inflation rate at 16 per cent in 2017, it is important to note that inflation has progressively declined in 2018 to a current rate of 11.28 per cent y/y as at September (according to the National Bureau of Statistics). Nigeria’s competitive environment is one of the most entrepreneurial in the world. The feedback from the private sector as surveyed by the World Economic Forum (WEF) ranks the “attitude of Nigerians for taking entrepreneurial risk” as the 13th in world among the likes of Israel and the USA, which are currently in first and second positions respectively. This aligns with the broader private sector-led growth model of the Federal Government stemming from the Economic Recovery and Growth Plan (ERGP) launched in April 2017, which prioritises “Investing in our people” and empowering them through various enterprise development initiatives and interventions.
“Overall, Nigeria’s market size remains an increasing source of competitive advantage in the global economy. The report ranks the Nigerian market as 24th largest in the world. According to the National Investment Promotion Commission (NIPC), between 2017 and the first half of 2018, about 154 investment projects have been announced across the country with an estimated value of about $112 billion. Commenting on the report, Dr. Jumoke Oduwole, Senior Special Assistant to the President on Industry, Trade & Investment and Secretary of the Presidential Enabling Business Environment Council (PEBEC), stated that “the global competitiveness report is a validation of the systematic work of PEBEC over the past 24 months – a work of collaboration across many levels of government to progressively and sustainably make Nigeria an easier place in which to do business.”
“The GCR 2018 is one of several globally accepted reports that have acknowledged the improvements in the Nigerian business environment. Recently, The World Bank also released the 2018 Subnational Doing Business Report for Nigeria, which recognised significant strides, with 29 states implementing 43 reforms over the past four years and moving country closer to the global good practice frontier. The World Bank described this as showing “how seriously the current administration is taking this goal” of improving the business environment”.
The Arab Africa Trade Bridges (AATB) Program and the Federal Republic of Nigeria formalized a partnership with the signing of the AATB Membership Agreement, officially welcoming Nigeria as the Program’s newest member country. The signing ceremony took place in Abuja on the sidelines of the 5th AATB Board of Governors Meeting, hosted by the Federal Government of Nigeria.
The Membership Agreement was signed by Eng. Adeeb Y. Al Aama, the CEO of the International Islamic Trade Finance Corporation (ITFC) and AATB Program Secretary General, and H.E. Mr. Wale Edun, Minister of Finance and Coordinating Minister of the Economy, Federal Republic of Nigeria. The Agreement will provide a strategic and operational framework to support Nigeria’s efforts in trade competitiveness, promote export diversification, strengthen priority value chains, and advance capacity-building efforts in line with national development priorities. Areas of collaboration will include trade promotion, agribusiness modernization, SME development, businessmen missions, trade facilitation, logistics efficiency, and digital trade readiness.
The Honourable Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun, called for deeper trade collaboration between African and Arab nations, stressing the importance of value-added Agribusiness and industrial partnerships for regional growth. Speaking in Abuja at the Agribusiness Matchmaking Forum ahead of the AATB Board of Governors Meeting, the Minister said the shifting global economy makes it essential for African and Arab nations to rely more on regional cooperation, investment and shared markets.
He highlighted projections showing Arab-Africa trade could grow by more than US$37 billion in the next three years and urged partners to prioritize value addition rather than raw commodity exports. He noted that Nigeria’s growing industrial base and upcoming National Single Window reforms will support efficiency, investment and private-sector expansion.
“This is a moment to turn opportunity into action”, he said. “By working together, we can build stronger value chains, create jobs and support prosperity across our regions”, Edun emphasized. “As African and Arab nations embark on this journey of deeper trade collaboration, the potential for growth and development is vast. With a shared vision and commitment to value-added partnerships, we can unlock new opportunities, drive economic growth, and create a brighter future for our people.”
Speaking during the event, Eng. Adeeb Y. Al Aama, Chief Executive Officer of ITFC and Secretary General of the AATB Program, stated: “We are pleased to welcome Nigeria to be part of the AATB Program. Nigeria stands as one of Africa’s most dynamic and resilient economies in Africa, with a rapidly expanding private sector and strong potential across agribusiness, energy, manufacturing, and digital industries. Through this Membership Agreement, we look forward to collaborating closely with Nigerian institutions to strengthen value chains, expand regional market access, enhance trade finance and investment opportunities, and support the country’s development priorities.”
The signing of this Agreement underscores AATB’s continued engagement with African countries and its evolving portfolio of programs supporting trade and investment. In recent years, AATB has worked on initiatives across agribusiness, textiles, logistics, digital trade, export readiness under the AfCFTA framework, and other regional initiatives such as the Common African Agro-Parks (CAAPs) Programme.
With Nigeria’s accession, the AATB Program extends it’s presence in the region and adds a key partner working toward advancing trade-led development and fostering inclusive economic growth.
Federal Executive Council (FEC) has approved the 2026–2028 Medium-Term Expenditure Framework (MTEF), a key fiscal document that outlines Nigeria’s revenue expectations, macroeconomic assumptions, and spending priorities for the next three years. The approval followed Wednesday’s FEC meeting presided over by President Bola Tinubu at the State House, Abuja. The Minister of Budget and Economic Planning, Senator Atiku Bagudu made this known after the meeting.
The Minister said the Federal Government is projecting a total revenue inflow of N34.33 trillion in 2026, including N4.98 trillion expected from government-owned enterprises. Bagudu said that the projected revenue is N6.55 trillion lower than earlier estimates, adding that federal allocations are expected to drop by about N9.4 trillion, representing a 16% decline compared to the 2025 budget.
He said that statutory transfers are expected to amount to about N3 trillion within the same fiscal year. On macroeconomic assumptions, FEC adopted an oil production benchmark of 2.6 million barrels per day (mbpd) for 2026, although a more conservative 1.8 mbpd will be used for budgeting purposes. An oil price benchmark of $64 per barrel and an exchange rate of N1,512 per dollar were also approved.
Bagudu said the exchange rate assumption reflects projections tied to economic and political developments ahead of the 2027 general elections. He said the exchange rate assumption took into account the fiscal outlook ahead of the 2027 general elections.
The minister said that all the parameters were based on macroeconomic analysis by the Budget Office and other relevant agencies. Bagudu said FEC also reviewed comments from cabinet members before approving the Medium-Term Fiscal Expenditure Ceiling (MFTEC), which sets expenditure limits. Earlier, the Senate approved the external borrowing plan of $21.5 billion presented by President Tinubu for consideration The loans, according to the Senate, were part of the MTEF and Fiscal Strategy Paper (FSP) for the 2025 budget.
The spot rate on Nigerian Treasury bills has been increased by 146 basis points by the Central Bank of Nigeria (CBN) following tight subscription levels at the main auction on Wednesday. The spot rate on Treasury bills with one-year maturity has now surpassed Nigeria’s 16.05% inflation by 145 basis points following a recent decision to keep the policy rate at 27%.
The Apex Bank came to the primary market with N700 billion Treasury bills offer size across standard tenors, including 91-day, 182-day and 364 day maturities. Details from the auction results showed that demand settled slightly above the total offers as investors began to seek higher returns on naira assets despite disinflation.
Total subscription came in at about N775 billion versus N700 billion offers floated at the main auction. The results showed rising appetite for duration as investors parked about 90% of their bids on Nigerian Treasury bills with 364 days maturity. The CBN opened N100 billion worth of 91 days bills for subscription, but the offer received underwhelming bids totalling N44.17 billion.
The CBN allotted N42.80 billion for the short-term instrument at the spot rate of 15.30%, the same as the previous auction. Total demand for 182 days Nigerian Treasury bills settled at N33.38 billion as against N150 billion that the authority pushed out for subscription. The CBN raised N30.36 billion from 182 days bills allotted to investors at the spot rate of 15.50%, the same as the previous auction.
Investors staked N697.29 billion on N450 billion in 364-day Treasury bills that was offered for subscription. The CBN raised N636.46 billion from the longest tenor at the spot rate of 17.50%, up from 16.04% at the previous auction.
-
News4 days agoNigeria to officially tag Kidnapping as Act of Terrorism as bill passes 2nd reading in Senate
-
News1 week agoFG launches fresh offensive against Trans-border crimes, irregular migration, ECOWAS biometric identity Card
-
News4 days agoFG’s plan to tax digital currencies may push traders to into underground financing—stakeholders
-
News4 days agoNigeria champions African-Arab trade to boost agribusiness, industrial growth
-
Economy4 days agoMAN cries out some operators at FTZs abusing system to detriment of local manufacturers
-
Finance1 week agoAfreximbank successfully closed its second Samurai Bond transactions, raising JPY 81.8bn or $527m
-
Uncategorized2 days agoChevron to join Nigeria oil licence auction, plans rig deployment in 2026
-
News4 days agoEU to support Nigeria’s war against insecurity