Tinubu is leaving a huge and positive legacy in Nigeria’s economy

A few days ago, PZ Cussons officially cancelled its plan to leave Nigeria and to sell its African subsidiaries. The UK-based company credited the reason for this change of plan to the positive impact of President Bola Tinubu’s economic reforms. These reforms were the primary driver for this turnaround, according to the company. In 2024, as a result of President Tinubu’s economic reforms – which had some teething issues then – PZ Cussons announced massive losses, which the company said pushed it to the brink, and announced its plans to exit Nigeria.

Today, the fruits of President Tinubu’s reforms are blossoming and PZ Cussons now sees light at the end of the tunnel. The company also sees enormous potentials in Nigeria and in Africa, as it were. Expectedly, the Nigerian Stock market (NGX) welcomed this positive endorsement of Nigeria’s economy by the Manchester-based company. Though the London Stock Exchange (LSE), where PZ Cussons’ parent company is listed, did not experience the same bullish sentiments as the NGX, there are indications that many foreign investors have started keying into President Tinubu’s economic reforms.

Foreign investors – especially those who dominate the NGX – are already cashing in on the benefits of the economic reforms in Nigeria. The performance of the NGX All-Share Index (ASI) went up 50.3% in 2025. It gained 37.6% in 2024. This means that if you had invested N1,000,000 in early 2024 in the NGX, the investment will be worth N2,068,128 today.

Under President Tinubu, Nigeria’s stock market capitalization has gone from approximately 13% of the nation’s GDP to 26%. Today, the total NGX’s market capitalization is approximately 95 trillion naira. (Note that is amount covers only equities – i.e. shares – and it is exclusive of the fixed income market). With the expected listing of major players like the Dangote Refinery, this capitalization is expected to increase. Bismarck Rewane, the Managing Director of Financial Derivatives Company (FDC) and a highly respected economist, predicts that the NGX will explode to ₦262 trillion (nearly tripling from current levels) in 2026. A big stock market is a sign of a matured and sophisticated economy: when stock markets are big and liquid, companies do not have to rely on banks for loans in order to raise money.

The Nigerian economy under Tinubu’s watch has shown persistent growth. Today, Investors are comfortable with naira assets. The naira is stable and many investors prefer the naira to the dollar. This was unthinkable two years ago.

Apart from the stability of the naira, Nigeria’s foreign reserve is growing rapidly. Between December 2024 and December 2025, Nigeria’s foreign reserves showed resilience and exponential growth, defying the typical correlation with oil prices. Today, the nation’s gross reserve is approximately $46.7 billion. The nation’s net reserve has also surged to $29 billion from a perilous value of $4 billion in 2024. This massive jump in net reserves shows that Nigeria’s apex bank has successfully paid down billions in forex backlog and swap obligations, thus, cleaning up the country’s balance sheet.

Interestingly, unlike in the past, oil was not the driver for this massive accretion of foreign reserves. In fact, the reserves grew despite the poor oil performance – i.e. in terms of price and production.

The growth in reserves was mainly from increased foreign 6 investment (FPI); cash from Eurobonds and increased remittances from the diaspora. Many critics argue that the high interest rate (MPR at 27%) has attracted more of FPI rather than Foreign direct investment (FDI). This column believes that as President Tinubu’s reform solidifies, the FPI will move into FDI. Critics also point to inflow of cash into reserve from foreign loans – Eurobond and the like. But one key point remains: reforms in the IMTO (International Money Transfer Operators) space significantly captured and increased diaspora flows into the official foreign exchange market. This you cannot take away as one of the key drivers of Nigeria’s growing reserves.

President Tinubu is on the right path. A few days ago, Mr. Reno Omokiri, a former presidential aide and an ambassadorial nominee, highlighted what he termed the ‘’21 economic miracles under Tinubu’’. No matter how you look at it, one cannot deny the fact that there is sustained growth in Nigeria’s economy. It is trickling down to the common man. Though some argue that the pace at which it trickles down need to be sped up.

Economist Bismarck Rewane also issued a highly optimistic forecast for 2026. Rewane says from the data available to him, the ‘’painful reforms of the last two years will start yielding dividends in 2026’’. Many respected economists share this view. The economist also had very positive forecasts for GDP growth in 2026.

Today, with support from foreign partners and the good will the President is getting from the West, this column believes that the President will win the war against banditry and terrorism in parts of the country. It will take hard work and the President needs the support of all Nigerians. Winning this battle will open the flood gate of the much-needed FDI, which will trigger massive and sustained economic growths. With sustained economic growth comes jobs and increase quality of life for Nigerians.

Nwankwo is the special adviser to Governor Chukwuma Soludo on special projects.