Mr Olaniyi Yusuf, the Chairman of the Nigerian Economic Summit Group (NESG) has advised the Federal Government to demonstrate openness, fairness and predictability to attract sustainable capital inflows.
Yusuf said this during the Nigerian Economic Summit (NES #31), in Abuja on Monday.
The theme of the Summit was, “Building a Prosperous and Inclusive Nigeria by 2030″.
He said that the country’s foreign direct investment remained weak despite slight improvements in fiscal conditions.
According to him, the way Nigeria treats its domestic investors will serve as a signal to foreign investors assessing the credibility and stability of the country’s business environment.
He said that policy predictability, investment protection and transparent mechanisms for resolving business disputes were critical to rebuilding trust in the economy.
The NESG chairman urged the government to prioritise clarity and continuity in economic policy.
“How we treat domestic investors will provide the right signals for foreign investors,” he said.
Yusuf said that though Nigeria’s fiscal condition had improved, the economy continues to face persistent inflationary pressures, high debt-service obligations and subdued investor sentiment.
“Our fiscal condition has improved, while inflation pressures persist, and the fiscal debt remains the same, widening to N15.5 trillion in 2024.
“Debt levels are stable, and the debt-to-GDP ratio of 40.6 per cent remains much the same, with a high debt-service ratio.
“Foreign capital is close to the boundary, yet foreign direct investment remains weak,” he said.
Yusuf said that policy credibility, incentives and social competitiveness were essential to attracting long-term capital from both domestic and foreign investors.
He said that Nigeria’s economic story was one of transition of undeniable progress amid sustained fragility.
He said that the NESG’s last three macroeconomic outlook reports outlined a roadmap for economic transformation built around three key phases: stabilisation, consolidation, and acceleration.
“Today, we can say that the stabilisation phase is materialising, albeit painfully and with fragility.
” But stabilisation, as necessary as it is, is not the destination, and so cannot be the end of our journey.
“If we stop here, we risk losing the progress that has been so courageously won”, the NESG chairman said.
The Minister of Budget and Economic Planning, Sen. Atiku Bagudu, said that the country had a promising economic outlook, with real GDP growth expected to accelerate to 4.60 per cent in 2025.
Bagudu said that the growth was projected to accelerate to 4.43 per cent in 2026, and 5.52 per cent in 2027.
“This growth trajectory will be supported by a stable price environment, with inflation projected to moderate to 15.75 per cent in 2025, 14.21 per cent in 2026.
“Inflation will further moderate to 10.04 per cent in 2027,, contingent upon a consistent monetary policy focused on price stability and complementary fiscal consolidation.
“Our policy direction will also continue to implement a market-driven exchange rate regime and fiscal sustainability, and also address the underlying structural challenges,” he said.
Bagudu reaffirmed the administration’s unwavering commitment to fostering sustainable inclusive economic growth, enhancing macroeconomic predictability, and improving the welfare of all Nigerians.
The minister said that the economic reforms and policy initiatives being implemented by the Federal Government were designed to address structural weaknesses, enhance productivity, and position Nigeria for long-term prosperity.
“While we recognise the short-term hardships on our people, we are confident that our policies will yield tangible benefits over time.
“The stabilisation of the exchange rate, declining inflationary pressures, and improvements in fiscal management are already setting the stage for a more resilient and diversified economy.
“Our focus remains on driving job creation, reducing poverty, increasing non-oil revenue, and improving our external financial position.
“We are taking development to the grassroot via the Renewed Hope Ward Development Programme, ” he said.
He called on the private sector, development partners, and all Nigerians to support these efforts by the Federal Government.
The minister said that the journey towards economic transformation required collective commitment, innovation and perseverance.
“Together, we can build an economy that is inclusive, competitive, and capable of delivering shared prosperity for all,” he said.
