In October 2026, Nigeria's business activity saw a noticeable slowdown, with the composite Current Business Performance Index dropping to 115.4 points from 117.8 points in September. This decline reflects persistent challenges such as unreliable power supply, restricted access to credit, and infrastructural inadequacies that hinder business operations across various sectors.
The Nigerian Economic Summit Group (NESG) highlighted that while the index remains above the critical 100-point mark, indicating expansion, the month-on-month decrease raises alarms about the sustainability of economic growth. Notably, sectors like Trade and Services showed resilience, with Trade's index climbing significantly, while Manufacturing and Agriculture struggled to maintain momentum. The report underscores the delicate balance between growth and the underlying issues that threaten it, including high operational costs and regulatory hurdles.
Looking ahead, the NESG's Future Business Expectation Index indicates a slight uptick in optimism among businesses, suggesting that despite current challenges, there is hope for recovery driven by anticipated consumer demand during the festive season. Investors and stakeholders should monitor these developments closely, as the interplay between power supply reliability and credit availability will be crucial in shaping Nigeria's economic trajectory and could have ripple effects on broader African markets.