Wale Edun, minister of finance and coordinating minister of the economy, says the structural reforms of the federal government led to over $7 billion investment in Nigeria’s oil and gas sector.
Speaking recently at the launch of a partnership between PepsiCo and DP World in Lagos, Edun said the reforms are reshaping multiple sectors — including energy, transport, logistics, and education.
“There are a number of structural reforms across key sectors, energy, transport, and even education and logistics,” the minister said.
“I can tell you, in the oil and gas sector, over $7 billion of investment has come in… unleashed by the reforms. Of course, they are what we call the green shoots of optimism of recovery.”
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Edun said the reforms have begun to reflect in economic data, with the gross domestic product (GDP) expanding by 3.1 percent in the first quarter (Q1) of 2025, compared with the 2.4 percent recorded in the same period of 2024.
According to the minister, the “broad-based” growth was driven by trade, telecommunications, and construction, with agriculture also recording improvements.
“The oil and gas sector is actually less than 4 percent of GDP, showing that there is less reliance. There is a move towards diversification,” he added.
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On macroeconomic stability, the minister said inflation has been on a downward trend for four consecutive months, while external reserves have risen to $42 billion — from “virtually nothing” two years ago.
Edun noted that the removal of petrol subsidy, which previously consumed about 5 percent of the GDP, has significantly improved the government’s fiscal position.
He, however, said the interest rate remains elevated as monetary authorities deploy it as a tool against inflation.
“The good news is those rates are coming down and I am sure the monetary authorities are looking,” he said.
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“As soon as they see good progress on inflation, that too will bring down interest rates, and internationally, rates are coming down. These are all factors that help to strengthen the fiscal situation of the government.”
The minister said it is not the perfection of policies that ensures progress but the determination and political will to pursue them consistently.
He added that President Bola Tinubu has demonstrated leadership by staying the course and showing commitment to implementing the right policies.
In 2024, Edun said Nigeria was expecting to get $7 billion in investment in the oil sector.
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Speaking on the sector’s performance in January 2025, Olu Verheijen, the special adviser to the president on energy, said the country’s energy sector received investments worth $6.7bn in 2024.
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