Mr. Wale Edun, the Minister of Finance and Coordinating Minister for the Economy, has declared that Nigeria's economic expansion, which has risen to about four percent annually, is still inadequate to lift a significant portion of the population out of poverty.
Edun shared these remarks in Lagos during the Nigeria Business Summit 2026, an event themed ‘Powering Sectors, Growing Sustainable SMEs, Unlocking Global Trade,’ organized by Stanbic IBTC.
Speaking virtually, the minister highlighted the government's priority on strengthening the nation's productive capabilities.
"For close to a decade, our GDP growth averaged around two percent each year, and we have recently entered a new phase where GDP is now approximately four percent annually," Edun stated.
He added, "This is an important improvement, yet it remains below the level necessary to lift millions of Nigerians out of poverty, which is the overarching goal of President Bola Ahmed Tinubu’s ‘Renewed Hope Agenda and Action Plan'."
Edun further explained that the government's strategy is centred on bolstering economic productivity, with a particular emphasis on supporting the sectors that drive production.
"As a government, our focus continues to be on maintaining macroeconomic stability while supporting the economy's productive sectors, despite existing fiscal limitations," he affirmed.
The minister identified key sectors crucial for unlocking economic productivity, including energy, agriculture, manufacturing, and technology.
"For instance, agriculture accounts for 25 percent of our GDP, yet its full value chain potential remains largely untapped," Edun noted.
He elaborated on energy sector reforms, stating that they are designed to attract private investment and improve the consistency of power supply. The Federal Executive Council's recent approval of establishing the Grid Asset Management Company was cited as a significant step towards attracting private capital into this sector.
"We need to operationalise and harness the benefits from what are currently described as standard capacities within the power sector's generating segment," he said.
"Thirdly, we must expand our engagement in regional and global trade," Edun stressed.
To enhance Nigeria's involvement in international and regional commerce, the government is operationalizing the first phase of the National Single Window Initiative. Edun believes Nigeria's true potential lies in becoming a leading export nation, despite its large domestic market of over 200 million people.
"The African Continental Free Trade Area Agreement presents a significant opportunity for Nigerian businesses to expand their operations," he remarked.
"Consequently, we must improve our trade infrastructure and logistics, boost competitiveness, support businesses in accessing continental and regional markets, and strengthen Nigeria’s position in global value chains."
"As we are aware, Africa as a whole accounts for roughly 3.0 percent of global trade, with intra-African trade at about 15 percent, which is considerably lower than optimal levels. We can achieve much more for mutual benefit, fostering economic growth and poverty reduction," he explained.
"Therefore, trade will play a vital role in diversifying our economy and generating foreign exchange earnings."
Edun also emphasized the importance of public-private partnerships, stating that transformation cannot be achieved by the government alone. He added that sustainable growth depends on robust partnerships between the public and private sectors, founded on trust, consistency, and a shared commitment to prosperity.
The minister found the summit’s theme, which focused on fostering sustainable SMEs, to be highly relevant to Nigeria.
"Supporting SMEs is crucial, as they form the backbone of our economy. These enterprises comprise over 90 percent of businesses in Nigeria and employ the majority of the workforce within the business sector," he stated.
"Their growth is thus central to inclusive development."
Edun outlined four key priorities for supporting SMEs: expanding access to affordable financing, improving the ease of doing business, promoting digitisation and formalisation of the largely informal sector, and facilitating SMEs' integration into existing value chains across all economic sectors.
"A robust SME sector will be instrumental in driving job creation, innovation, and economic resilience. Secondly, we must increase investment in critical productive sectors," he concluded.
According to Edun, the government's role involves maintaining a stable economic environment, implementing clear and predictable policies, and removing obstacles to investment and business operations, including infrastructure and bureaucratic challenges.
"Our collective ambition, as set by Mr. President, is to build a $1 trillion economy, which is an achievable goal," he stated.
"This will depend on businesses, particularly SMEs, scaling up, innovating, and competing effectively across Africa and globally."
In his opening address, Mr. Chuma Nwokocha, Group Chief Executive of Stanbic IBTC Holdings Plc, represented by the Chief Financial Officer of StanbicIBTC Bank, Mr. Kunle Adediji, described the summit as a platform for learning, networking, and forward-looking discussions.
"We convened experts from various sectors because the challenges are interconnected," Nwokocha explained, noting that the summit would cover topics such as agribusiness, renewable energy, trade relations with Africa, China, and the Middle East, and the rapidly evolving Information Technology and Communication sector, which significantly shapes Nigeria's economic landscape.
Lagos State Governor, Mr. Babajide Sanwo-Olu, commended StanbicIBTC for organizing the summit, noting that its theme aligns with the nation's collective aspirations.
Represented by the Commissioner for Economic Planning and Budget, Mr. Mosopefolu George, the Governor stated that his administration has provided financial access, skill development, and business support to over 200,000 SME entrepreneurs.
Comments (0)
You must be logged in to comment.
Be the first to comment on this article!