LAGOS – The Lagos Chamber of Commerce and Industry (LCCI) has said that Nigeria can achieve its 2026 growth projections through coordinated reforms, stronger institutions, and private-sector-led expansion.
Mr Leye Kupoluyi, LCCI President, made the remark on Thursday at the chamber’s first-quarter 2026 news conference in Lagos.
He said Nigeria must effectively leverage global opportunities to exceed projected growth next year.
Noting that the global economy showed unexpected resilience in 2025 despite persistent challenges, Kupoluyi said growth remained slow, constrained by geopolitical tensions, trade fragmentation, and structural weaknesses.
“While a sharp downturn was avoided, global growth is still below pre-pandemic levels,” he added.
He stressed the need for sustained reforms, enhanced international cooperation, and policies that boost investment, productivity, and inclusive growth.
“Leveraging these opportunities requires deliberate policy actions, stronger institutions, and robust private-sector-led strategies,” Kupoluyi said.
On monetary policy, he noted that the Central Bank’s Monetary Policy Rate remained at 27 percent, which, while supporting anti-inflation efforts, increased borrowing costs, suppressed demand, and slowed business expansion.
“These effects could weigh on economic recovery, particularly in interest-sensitive sectors such as manufacturing, real estate, and consumer goods,” he warned.
Kupoluyi called on government to focus on curbing inflation driven by high energy costs, interest rates, and currency pass-through effects.
He urged the continuation of policies supporting agriculture and fuel supply, and emphasised that businesses and citizens should benefit from more stable prices and a lower cost of doing business.
On foreign exchange, he acknowledged relative stability in 2025, citing improved transparency and stronger policy credibility, supported by a rise in external reserves to $45.5 billion. This, he said, strengthened the Central Bank’s ability to manage liquidity, boost confidence, and shield the economy from shocks.
The LCCI president commended the focus on production-oriented spending in the 2026 budget, with capital expenditure of N26.08 trillion outpacing non-debt recurrent spending of N15.25 trillion.
He advised that deficit financing should include equity and cheaper sources, not rely solely on debt.
“Success in 2026 will depend less on allocation size and more on execution discipline, capital efficiency, and sustained support for productive sectors,” Kupoluyi said.
On public debt, he noted that Nigeria’s N152.40 trillion debt, impacted by borrowings and exchange rate depreciation, remains a concern.
He urged the government to explore alternative financing, expand non-oil revenue, improve tax efficiency, and curb recurrent expenditure.
Regarding the new tax regime, Kupoluyi encouraged businesses to remain formal and compliant, describing the process as essential to enhancing competitiveness and revenue. He stressed that clear, transparent, and collaborative implementation is key to achieving economic benefits without hindering growth.
Identifying key growth sectors for 2026, he highlighted agriculture and agro-processing, manufacturing, infrastructure, energy, and human capital development.
Unlocking these sectors requires scaling irrigation, reducing power and logistics costs, accelerating infrastructure through public-private partnerships, sustaining oil and gas reforms, and aligning education with market needs.
Kupoluyi also called on the government to strengthen macroeconomic stability, policy credibility, non-oil exports, infrastructure governance, and the business environment.
“Nigeria must position itself as a regional hub for manufacturing, logistics, and artificial intelligence,” he said, noting that achieving this would require coordinated policy, infrastructure development, human capital investment, and private-sector participation.
