Finance Minister Taiwo Oyedele said Nigeria will rely increasingly on domestic and foreign private capital, rather than state borrowing, to finance its next growth phase, and ruled out restoring petrol subsidies. He credited President Bola Tinubu's reforms since 2023, including scrapping the subsidy and overhauling the foreign exchange regime, with stabilising public finances, strengthening foreign reserves and attracting investment, though they have imposed a heavy cost-of-living squeeze. Inflation has fallen to 14.63% from 21% a year earlier, and he expects it to reach low single digits in the coming months. He called the IMF's forecasts of 4.2% growth in 2026 and 4.3% in 2027 “too conservative,” as the government targets average annual growth of about 7% over the next five years.
Summary written by Upside AI from the original article. Read the source for full details.
Read the original on cnbcafrica.com ↗
Keywords
NigeriainflationIMFforeign reserves
Open a keyword to see other news on the same topic.
Related news
- Why President Tinubu Is Building Serious Claim to Greatness – THISDAYLIVE
The article argues that President Tinubu is building a lasting legacy by combining the strengths of earlier Nigerian leaders with democratic and economic reform. It cites his role in forming the coalition that became the APC, which achieved Nigeria's first federal transfer of power from a governing party to an opposition party, and the Supreme Court's affirmation of the 2023 election result despite legal challenges. It also notes that he congratulated Governor Ademola Adeleke after the opposition Accord Party defeated the APC in Osun's August 2026 election, while acknowledging the controversy over the suspension of Rivers State's elected government. On the economy, the article credits the removal of petrol subsidies, unification of foreign-exchange windows and four 2025 tax laws, as real GDP growth rose from 3.38% in 2024 to 4.43% in Q2 2026. According to the IMF, gross reserves increased from about $40 billion to $46 billion during 2025.
- Nigeria Fiscal Crisis Forced Us to Be Creative, Look Beyond Oil Revenues - Cardoso
Central Bank of Nigeria Governor Olayemi Cardoso said on a World Bank/IMF panel in Bangkok that the fiscal crisis forced policymakers to be creative in revenue generation and stabilisation. He said that when the new administration took office, external reserves had dropped to about $3 billion and the country owed about $7 billion in sundry obligations, and orthodox monetary policy helped repay debt and stabilise the economy. He argued that reliance on oil revenue was unsustainable, so the CBN looked to the diaspora and international remittances to ease capital flow and is now focused on value addition, citing the Dangote Refinery. Gross external reserves now stand at $55.1 billion and net reserves at about $46 billion. The debate, which featured IMF Managing Director Kristalina Georgieva and Kyriakos Pierrakakis, Minister of Economy and Finance of the Hellenic Republic, explored how economies can stay resilient amid a fragmented global landscape.
- Cardoso : We Would Stay the Course on Reforms to Sustain Investor Confidence – THISDAYLIVE
Central Bank of Nigeria Governor Olayemi Cardoso said headline inflation fell to 14.63 per cent in September 2026 from about 34.8 per cent at end-2024, while external reserves rose above $55 billion, their highest in 18 years. The banking recapitalisation raised N4.65 trillion, just over 70 per cent from domestic investors, and Fitch revised Nigeria's outlook to positive. Cardoso said the CBN is pursuing investment-grade ratings in the medium term and cited its September reset of the policy rate from 26.5 to 23 per cent as an example of clear communication. He also discussed deepening financial ties with Asia, including cross-border payments and settlement with China's central bank governor.
- Nigeria targets 7 % growth as Oyedele defends tax reforms , Nigeria rising narrative
Nigeria’s Finance Minister Taiwo Oyedele said at the 2026 IMF-World Bank Meetings in Bangkok that the government is aiming for 7 per cent annual growth, well above IMF projections for the next two years. He credited a tax framework rewritten within two years and efforts to cut food, energy and logistics costs as key to lowering inflation and borrowing costs. He argued that bringing inflation down to low single digits could allow single-digit interest rates, noting that prime lending is close to 30 per cent, which weighs on businesses. He also said improved foreign exchange performance has helped the inflation outlook, although food, energy and logistics pressures remain. He defended the “Nigeria Rising” narrative as a way to correct international perceptions that, in the government’s view, do not reflect the country’s progress.
- FG Unveils $78.5bn Investment Plan, Targets 7% Growth – The Sun Nigeria
Nigeria returned from the 2026 IMF and World Bank Annual Meetings in Bangkok with a $78.5 billion pipeline of 65 bankable projects across energy, transport, industry, mining, agriculture, health and urban services. Finance Minister Taiwo Oyedele said the government targets 7% growth, calling the IMF’s 4.3% projection for 2027 conservative, and cited 4.4% GDP growth in the second quarter of 2026. CBN Governor Olayemi Cardoso said reforms cut inflation to 14.63% in September 2026, lifted foreign reserves above $55 billion, and banks raised N4.65 trillion in recapitalisation, over 70% from domestic investors. Fitch revised Nigeria’s outlook to positive, but Cardoso warned gains must be protected through consistent policies. Oyedele said lowering inflation and borrowing costs, now near 30%, is needed to unlock investment, and the government ruled out a return of fuel subsidies.
- CBN rate cut appropriate , monetary stance still tight IMF
The IMF endorsed the Central Bank of Nigeria's decision to adjust its monetary policy stance, saying inflation progress allowed a reduction in the real interest-rate burden, though conditions remain tight and this is not yet monetary easing. The Fund urged the government to mobilise more non-oil revenue, deepen structural reforms to attract private investment and create jobs, and direct savings from subsidy reforms to vulnerable Nigerians. It upgraded Nigeria's 2026 growth forecast to 4.2% from 4.0% last year, with 4.3% projected for next year, citing higher oil prices that boosted foreign exchange receipts and services as the main driver of domestic expansion. The IMF also warned against relying on oil revenue to finance development, noting that exchange-rate reforms and petrol subsidy removal have raised living costs for households.
Related markets
Latest news
- Bank Profits Surge
The 9-month 2026 results show many banks continued to grow profits, with some posting record quarterly earnings. VPBank's pre-tax profit reached nearly VND 30,000 billion, up nearly 47%, equal to its full-year 2025 result and about 72.4% of its 2026 plan; Q3 pre-tax profit topped VND 11,000 billion. Techcombank posted VND 28,900 billion (up 23.7%), while LPBank reported VND 10,421 billion (up nearly 9%). SSI forecasts pre-tax profit of its monitored banks to rise 19.5% in 2026 before slowing to 15.4% in 2027, pressured by narrowing net interest margins and rising credit risk provisions. It also expects system-wide credit growth of 16-17% in 2027 and 17.9% for the monitored banks.
- World's Largest Gold Fund Dumps Over 10 Tonnes of Gold as Prices Slide
SPDR Gold Trust, the world's largest gold fund, continued net selling of nearly 12 tonnes of gold in the 22/10 session, bringing total sales over 2 sessions to nearly 15 tonnes and cutting its holdings to about 1,046 tonnes. Spot gold fell more than 2.8% to around USD 4,025 per ounce at the close of 22/10, and briefly dipped below USD 4,000 per ounce in the morning session of 23/10. Tensions in the Middle East pushed crude oil prices higher, raising concerns about inflation and further Fed tightening, and gold has still not attracted sustained safe-haven demand even as US Treasury yields fell. US September CPI rose 0.6% month on month and 3.7% year on year, while PPI rose 1.3% and 6.3%. Markets price about an 84% chance the Fed holds rates steady at its 27-28/10 meeting and a 16% chance of a 25 basis-point increase; September PCE data due on 29/10 is the next key factor to watch.
- Gold Prices Continue to Fall
On the morning of 23/10, domestic gold prices kept falling, with SJC bar prices varying by seller and the premium over world gold widening. Công ty TNHH Vàng bạc đá quý Sài Gòn listed SJC bars at VND 139-142 million per tael (buy-sell), down VND 300,000; Phú Quý was at VND 138-141.8 million, down VND 500,000; and Mi Hồng at VND 140-141.5 million, down VND 800,000. Gold rings also fell by varying amounts, with DOJI at VND 138-142 million and Phú Quý at VND 138-141 million per tael. World gold dropped USD 129 to around USD 3,992 per ounce, equal to about VND 125.3 million per tael, leaving SJC bars about VND 16.7 million per tael above the world price. The State Bank's central rate was set at 25,627 VND/USD, down 5 dong, while Vietcombank quoted 25,660-26,040 VND/USD (buy-sell).
- Company Linked to Billionaire Pham Nhat Vuong Announces Major Good News
VEFAC (ticker VEF), a Vingroup subsidiary, posted Q3 net revenue of nearly VND 77 billion, up 67% year on year, but a gross loss of about VND 27 billion as cost of sales from its exhibition business exceeded revenue. Q3 profit rose mainly thanks to a gross gain of about VND 65 billion from transferring some schools in a project to a partner, while financial income reached over VND 388 billion, mostly from loan and investment income. For the first nine months of 2026, after-tax profit was nearly VND 865 billion, down about 94% from VND 15,418 billion in the same period of 2025, as the prior year included large gains from transferring part of the Vinhomes Global Gate project. As of 30/9/2026, total assets stood at over VND 31,905 billion, up 36% from the start of the year, while total liabilities exceeded VND 24,364 billion, with short-term customer advances rising from VND 411 billion to over VND 8,373 billion.
- Lotte and Phat Dat Officially Break Ground on VND 60,000 Billion Mega Project in Thu Thiem 'Golden Land'
A joint venture between Lotte Group (South Korea) and Phát Đạt (HoSE: PDR) officially broke ground on 23/10 on Lotte Eco Smart City Thu Thiem in the Thu Thiem New Urban Area, HCMC, with total investment of about VND 60,000 billion. The project covers nearly 7.5 ha and will combine Grade A offices, retail, services, accommodation and housing, adjoining the central plaza and central lake of Thu Thiem. Phát Đạt holds 35% of Lotte Properties HCMC, the project developer, and will develop the housing blocks along with two towers (2-1 and 2-3) with about 219,722 m2 of floor area, while Lotte handles block 2-5. Lotte Properties HCMC paid VND 17,569 billion in land-use fees on 31/7/2026, and Phát Đạt completed its VND 7,666 billion payment to take its 35% stake. MB is funding all of Phát Đạt's capital contribution, while VietinBank and BIDV also support the project.
- International Business : Global stocks nosedive as Meta dents AI optimism
Global stocks retreated as tech earnings failed to ease concerns about the AI outlook, with MSCI's All-World index set for its largest daily fall in two weeks, down 0.4 per cent. Meta beat third-quarter revenue expectations, but its plan to issue non-voting stock revived worries about its mounting capital commitments, and a New Mexico judge ordered it to pay a $25 billion penalty in a data privacy case. Brent crude rose nearly 3% to $112 a barrel, near a five-month high, after more Houthi attacks in Saudi Arabia raised supply risks. Investors moved into government bonds, pushing the US 10-year yield down to 5.05%, below France's for the first time in 13 years, while French yields have climbed above 5% amid concerns over social unrest and debt. The France-Germany 10-year spread reached 177.7 basis points, its widest since 2011, while gold fell 1.8% to $4,070 an ounce.
Get the briefing on Telegram or Zalo
Join the Upside Telegram channel or Zalo group for the Vietnam stocks and gold briefing at 8:00 and 19:00 (Vietnam time) on trading days, plus a weekly wrap on Saturday morning.