Economy
World Bank Forecasts 3.4% Growth for Nigeria in 2022
By Adedapo Adesanya
Nigeria’s economy has been forecast to grow by 3.4 per cent this year by the World Bank in its latest outlook for global economies. This is in comparison to 3.6 per cent recorded in 2021.
The global lender noted that the growth in Sub-Saharan Africa (SSA), which Nigeria falls into, has weakened this year as domestic price pressures, partly induced by supply disruptions owing to the war in Ukraine, are reducing food affordability and real incomes, especially in low-income countries (LICs).
Generally, the region rebounded last year by 4.2 per cent in 2021 but the silver lining is that limited direct trade and financial linkages with Europe and Central Asia have helped contain some of the negative effects of the war in Ukraine on SSA.
In the report published on Tuesday, it was revealed that the sharp deceleration of global growth and war-related shortages of food and fuel are creating substantial headwinds for the region, even more so in countries reliant on wheat imports from Russia and Ukraine (Democratic Republic of Congo, Ethiopia, Madagascar, Tanzania).
In many SSA countries, increasing living costs have also tempered gains from looser social restrictions and higher commodity export prices.
The global lender noted that growth in the three largest SSA economies—Angola, Nigeria, and South Africa—was an estimated 3.8 per cent in 2021 supported by the 4.9 per cent rebound in South Africa.
For this year, growth in SSA is expected at 3.7 per cent in 2022 and 3.8 per cent in 2023 – on par with January projections.
Yet, excluding the three largest economies, growth was downgraded by 0.4 percentage points both in 2022 and 2023.
Although, elevated commodity prices would underpin recoveries in extractive sectors, in many countries rising inflation would erode real incomes, depress demand, and deepen poverty.
Growth momentum carried on in Angola and Nigeria, where high oil prices, the stabilization of oil production, and recovery in non-resource sectors supported activity in the first half of this year. Nevertheless, persistently high domestic inflation, power cuts, and shortages of food and fuel have been weighing on recoveries.
In South Africa, growth has moderated substantially amid policy tightening, high and rising unemployment, and recurring power shortages.
The World Bank also painted that infrastructure damage to the country’s main port following severe floods has also exacerbated supply chain disruptions related to the war in Ukraine and lockdowns in China.
Elsewhere in the region, the boost from a waning of the pandemic and a gradual rebound in tourism is being muted by rapidly rising living costs and weakening domestic demand.
In some countries, debt distress, policy uncertainty, social unrest, and violence still hamper recoveries, especially in fragile and conflict-affected LICs.
For 2022, growth in LICs was revised down by almost a full percentage point this year as food price inflation and food shortages are expected to take a particularly severe toll on vulnerable populations, further worsening food insecurity in those countries.
The growth slowdown in SSA could also intensify pandemic-induced losses in per capita incomes. The region is now expected to remain the only Emerging Market and Developing Economy (EMDE) region where per capita incomes will not return to their 2019 levels even in 2023.
In about 45 per cent of the region’s economies and in half of its fragile and conflict-affected countries, per capita incomes are forecast to remain below pre-pandemic levels next year.
Surging food and fuel import bills could also reverse recent progress in poverty alleviation across the region, especially in countries where vulnerable populations are sizable (Democratic Republic of Congo and Nigeria), and dependence on imported food is high (Benin, Comoros, The Gambia and Mozambique).
Looking at the risks, the outlook is predominantly to the downside with prolonged disruption to global trade in cereals and fertilizer due to the war in Ukraine set to significantly worsen affordability and availability of staple foods across the region.
In addition, insecurity and violence pose a threat to the outlook, especially in LICs, while rapid increases in living costs risk escalating social unrest.
A faster-than-expected slowdown of the global economy, which could be triggered by the accelerated policy tightening in advanced economies and the global resurgence of the COVID-19, would hurt many SSA commodity exporters.
The Washington-based bank warned that persistent domestic inflation could speed up monetary policy tightening, escalating stagflation risks across the region.
By Dipo Olowookere
The Nigerian Exchange (NGX) Limited suffered a 0.94 per cent loss on Monday, April 27, 2026, which marked the commencement of an extended market session.
A few weeks ago, it was announced that trading activities on Customs Street would now be from 9:00 am to 4:00 pm instead of the usual 9:30 am to 2:30 pm.
This action was taken to allow market participants more time to explore the bourse and further make it robust, especially after the restoration of Nigeria’s frontier market status by FTSE Russell.
The NGX came under selling pressure, which resulted in 35 equities finishing on the gainers’ chart and 40 equities ending on the losers’ table, indicating a negative market breadth index and weak investor sentiment.
Trans-Nationwide Express, First Holdco, and UBA were the worst-performing equities after giving up 10.00 per cent each to trade at N7.11, N67.50, and N49.50, respectively. Access Holdings depreciated by 9.90 per cent to N28.20, and Fidelity Bank crashed by 9.87 per cent to N20.10.
The best-performing equity for the session was Abbey Mortgage Bank, which gained 9.26 per cent to N5.90, Zichis went up by 8.91 per cent to N16.99, Wema Bank expanded by 8.80 per cent to N34.00, NPF Microfinance Bank soared by 8.19 per cent to N5.68, and Coronation Insurance grew by 7.27 per cent to N2.66.
It was observed that the profit-taking was mainly from banking stocks, as the index shed 6.49 per cent. The consumer goods sector lost 0.41 per cent, and the energy counter depreciated by 0.24 per cent.
However, the industrial goods space improved by 0.85 per cent, and the insurance segment appreciated by 0.15 per cent.
But at the close of business, the All-Share Index (ASI) slipped by 2,120.20 points to 223,602.29 points from 225,722.49 points, and the market capitalisation shrank by N1.365 trillion to N143.970 trillion from N145.335 trillion.
A total of 678.2 million shares worth N44.1 billion were traded in 82,838 deals on Monday compared with 627.6 million shares valued at 44.5 billion transacted in 55,232 deals last Friday, representing a drop in the trading value by 0.90 per cent, and a surge in the trading volume and number of deals by 8.06 per cent and 49.98 per cent, respectively.
Zenith Bank was at the zenith of the activity chart yesterday with 76.1 million units sold for N9.5 billion. Wema Bank traded 49.9 million units worth N1.7 billion, Access Holdings exchanged 39.1 million units valued at N1.1 billion, Tantalizers transacted 30.0 million units worth N113.9 million, and AIICO Insurance traded 28.3 million units valued at N118.3 million.
By Adedapo Adesanya
Nigeria has ramped up efforts to secure its oil-rich waters and curb maritime crime, deploying significant naval assets under Exercise Obangame Express 2026 to protect critical energy infrastructure and trade routes in the Gulf of Guinea.
Flagging off the exercise in Onne, Rivers State, the Chief of Naval Staff, Vice Admiral Idi Abbas, said the exercise is central to safeguarding economic assets and sustaining investor confidence in Nigeria’s maritime domain.
“The safer maritime environment has enhanced investor confidence, increased shipping activities and supports the Federal Government’s drive towards a sustainable blue economy,” he said in a statement.
The multinational exercise, coordinated with the United States Africa Command, focuses on combating oil theft, piracy, illegal trafficking and other threats that directly impact Nigeria’s oil revenues and regional trade flows.
The focus on maritime security comes amid persistent concerns over crude oil theft and supply chain disruptions, which continue to undermine Nigeria’s production capacity.
Mr Abbas emphasised that coordinated regional efforts remain the most effective response to evolving threats.
“OBANGAME EXPRESS provides a unique opportunity for participating nations to train together, operate together and build the trust necessary for real-time coordination,” he said.
He added that no country can independently secure its maritime domain, stressing the need for sustained partnerships to protect the Gulf’s strategic energy corridor.
Also, the Commander, Eastern Naval Command, Rear Admiral CD Okehie, said the operation reflects a strategic shift toward protecting high-value maritime assets.
“The Gulf of Guinea serves as a major global sea lane of commerce, making it indispensable not only to regional economies but also to international trade,” he noted.
According to him, the Navy’s deployment of 10 ships, helicopters and special forces is designed to strengthen surveillance, interdiction and rapid response capabilities.
With Nigeria’s offshore assets and export routes forming a backbone of national revenue, the exercise signals a renewed push to tighten security, reduce losses and stabilise the broader oil and gas ecosystem.
By Aduragbemi Omiyale
When shareholders of Nigerian Breweries Plc gathered at the company’s 80th Annual General Meeting (AGM) in Lagos, on Wednesday, April 22, 2026, one thing they were sure was not on the agenda was the approval of a dividend for the 2025 financial year.
This was because the board did not propose the payment of a cash reward to investors for the fiscal year for some reasons, which were explained at the meeting.
The chairman of the organisation, Ms Juliet Anammah, told shareholders that the dividend payout was skipped to rebuild retained earnings impacted by prior macroeconomic shocks, particularly foreign exchange-related losses.
“We recognise the importance of dividend payments to our shareholders and sincerely appreciate your continued understanding.
“While we are not declaring a dividend at this time due to negative retained earnings, we are working diligently to restore the company’s financial position and return to dividend payments as soon as it is sustainable to do so,” she explained.
Ms Anammah noted that the board remains vigilant to external risks, including the Middle East crisis and broader macroeconomic challenges, which may impact the pace of improvement in the 2026 financial year.
She thanked shareholders for their continued support and reaffirmed that the company will build on its 2025 performance as it accelerates growth ambitions.
“We have a solid foundation built over eight decades, anchored on a strong portfolio of brands, an extensive nationwide sales and supply chain network, ongoing digital transformation, and most importantly, our people. These strengths remain critical to sustaining our leadership position,” she said.
Despite the non-payment of cash reward for the year, shareholders applauded Nigerian Breweries for strong recovery and improved profitability in the 2025 financial year, driven by disciplined cost management and a significant reduction in finance expenses.
One of them, Mr Eke Emmanuel, who is the immediate past Secretary of the Independent Shareholders Association of Nigeria, praised the board and management for steering the company through a volatile macroeconomic environment while strengthening its financial position, noting that the company’s resilience, at a time when several businesses exited the country, reflects strong leadership and a sound strategic direction.
“It is good news that we have been here for 80 years. There is no reason why we will not be here for the next 80 years with what we have achieved. To return to this level of profitability and cash position shows the Board has done an enormous amount of work,” he said.
Another shareholder, Mr Owolabi Opeyemi of the Noble Shareholders Association, confessed that, “We are proud of how the company has withstood the ups and downs of a challenging environment. The return to profitability and the reversal of the negative cash position recorded in the previous two financial years is commendable.”
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