The World Bank has raised its forecast for Nigeria’s economic growth this year to 4.3 per cent, up from its earlier projection of 4 per cent.
The bank announced the revised forecast on Tuesday in its latest Africa Economic Update, pointing to improving economic stability, stronger investor confidence and a recovery in private investment.
It also expects Nigeria’s economy to grow by 4.4 per cent in both 2027 and 2028.
The new projection comes after Nigeria recorded 4.43 per cent year-on-year GDP growth in the second quarter of 2026, according to the National Bureau of Statistics.
The World Bank said Nigeria was among the African economies whose growth outlook had improved, as economic reforms and improving macroeconomic conditions begin to support investment.
But the bank said the growth figures alone would not be enough to ease the pressure facing many Nigerians.
One of the major challenges, it said, would be creating enough productive jobs for the country’s growing workforce.
About 3.5 million people enter Nigeria’s labour force every year, according to the World Bank, putting pressure on the economy to create jobs alongside economic growth.
The bank also warned that higher fuel prices linked to the ongoing conflict in the Middle East could continue to put pressure on poorer households.
It said increased government spending ahead of Nigeria’s 2027 elections could also affect the pace of recent economic reforms.
The World Bank’s wider forecast puts growth across Sub-Saharan Africa at 4.3 per cent in 2026, up from its previous 4.1 per cent projection.
Despite the improved outlook, the bank said the region still faced the challenge of turning economic growth into better jobs and living standards.
For Nigeria, the revised forecast is another positive sign for the economy, but the World Bank’s warning leaves a bigger question for the recovery: whether the growth will translate into more jobs and better incomes for Nigerians.
