In a recent piece titled Nigeria Turns Towards Prosperity, the Minister of Finance and Coordinating Minister of the Economy, Wale Edun, said Nigeria has entered a new phase of stability and growth after years of economic turbulence. According to him, the country is moving from crisis to stability, and the signs of recovery are now becoming more visible in key economic indicators.
Edun noted that food prices, which have been a major concern for many Nigerians, are finally starting to come down. “A bag of rice that cost about ₦120,000 last year now averages around ₦80,000. The prices of garri, pepper, tomatoes, and other essentials have also decreased,” he said.
He expressed both pride and hope, while acknowledging the challenges that Nigeria has faced in the past. “In this role, I often feel a mix of emotions: deep pride in our national journey, regret over the opportunities we failed to seize, and confidence in our direction of travel today. Despite some historical shortfalls and present-day challenges, I believe the most difficult phase of our economic journey is behind us. Nigeria has turned a decisive corner. The road ahead will demand hard work and discipline, but we are firmly on the right path,” he said.
Edun explained that when President Bola Ahmed Tinubu took office in 2023, the economy was “on the brink of fiscal collapse” due to slowing growth, high inflation, and market distortions caused by the fuel subsidy and multiple exchange rate systems. “The President’s mandate was clear – dismantle those market distortions, reward productivity, and create a climate where private investment can thrive,” he said.
According to him, two years after those reforms began, the results are now showing. “GDP grew by 4.23 percent in the second quarter of 2025. Inflation, while still high, has moderated to 18.02 percent after six consecutive months of decline. The exchange rate has stabilised, and the gap between official and parallel markets has narrowed to about 1 percent, down from a peak of nearly 70 percent. Importantly, foreign reserves have risen above $43 billion, the highest since 2019,” he added.
Edun explained that while the macroeconomic numbers are encouraging, the government understands that “the economy is ultimately about people, not statistics.” He said that millions of Nigerians measure progress by the cost of food, transport, and other essentials, adding that food inflation has been the most painful challenge since the removal of fuel subsidies and currency depreciation.
However, he said that targeted government measures are easing the pressure on households. “At the same time, we are careful to ensure our smallholder farmers have enough incentives to return to farms next planting season. We are therefore implementing programmes that stimulate agricultural production by safeguarding smallholder farmers’ incomes,” he stated.
He added that the government has provided financial support to millions of homes across the country. “8.1 million households nationwide have received direct cash support from the government to help meet basic needs. This is more than a safety net; it ensures that the impact of these necessary reforms is cushioned for the most vulnerable among us, even as we continue to resolve the identity verification issues required to reach our 15 million households’ target,” he said.
On Nigeria’s debt and revenue situation, Edun said, “The progress we have made does not diminish the tough realities we still face. Debt service costs remain heavy, consuming a larger-than-ideal share of our revenues. This is the consequence of past borrowing and elevated interest rates.”
He further highlighted that Nigeria’s revenue-to-GDP ratio “remains one of the lowest in Africa, at about 10 percent after rebasing,” which limits the government’s ability to fund key services like health, education, and infrastructure.
To address this, he noted that President Tinubu signed the new Nigeria Tax Act and related legislation on 26 June 2025, which will take effect from 1 January 2026. “These reforms aim to broaden the tax base, simplify compliance, and reduce leakages, while introducing a more progressive tax regime that shields lower-income earners and adjusts rates for higher earners,” he said.
He mentioned that along with the Revenue Optimisation and Assurance Programme (RevOp), these measures will “strengthen revenues, create fiscal space, and support greater investment in our people and infrastructure.”
Speaking on sectoral growth, Edun emphasised that stability alone is not enough for sustainable development. “A stable economy is crucial, but stability alone is insufficient. To deliver inclusive prosperity, we must anchor growth in sectors that generate jobs and opportunities,” he said.
He revealed that the government is “providing necessary incentives to revive investments in the oil and gas industry.” He added that with improved security, oil theft has declined, and production has increased to 1.68 million barrels per day, including condensates.
He said that new refinery projects are also positioning the downstream oil sector for a revival. “In agriculture, we are boosting food supply, reducing reliance on imports, and ensuring farmers have security and access to markets,” he said.
He added that Nigeria is encouraging investment in factories and strategic value chains to create employment for the country’s young workforce. He also said that the government is investing in technology and the creative sector to harness youth innovation and make Nigeria a leading hub in Africa.
“In addition, we are expanding exports beyond oil by tapping into the global demand for critical minerals,” he said.
Edun also highlighted the role of infrastructure as the “backbone of growth,” noting that public funds alone are not enough to meet Nigeria’s infrastructure needs. “We are attracting private capital through public-private partnerships. The Ajaokuta–Kaduna–Kano gas pipeline, and Project Bridge’s 90,000 km fibre expansion are examples of how we are laying out the groundwork for industrialisation and nationwide connectivity,” he stated.
Speaking about restoring investor confidence, Edun said the signs of recovery are already visible. “The clearest sign that Nigeria is on the right path is the return of confidence. Investors – both domestic and foreign, multilateral institutions, and ordinary citizens are starting to believe in the nation’s prospects again,” he said.
He cautioned, however, that confidence is fragile and must be maintained through consistent policies. “Sustaining it demands a predictable policy environment, disciplined fiscal management, and steady progress in reducing inflation,” he said.
Looking ahead, Edun said the government’s medium-term target is to achieve 7 percent GDP growth by 2027/2028. “Achieving this will require not only government action but the full participation of the private sector, entrepreneurs, and citizens. I am confident that if we work together, we will not only meet this target but surpass it,” he said.
He ended with a message of optimism. “The task ahead, therefore, is to deepen resilience, broaden opportunities, and ensure that reforms translate into real improvements in daily life—better schools, affordable food, reliable power, accessible healthcare, and jobs for our youth. Then, we can be assured that Nigeria’s next decade will be one of shared prosperity and renewed hope,” Edun said.
