The Federal Government has announced that Nigeria will enter a new phase of economic expansion in 2026, marking a shift from macroeconomic stabilisation to accelerated growth, investment mobilisation and job creation, as it pursues a target of becoming a $1 trillion economy by 2036.

The new economic direction is being driven by the Federal Ministry of Finance and builds on reforms implemented over the past two years. These reforms include exchange rate unification, energy market restructuring and fiscal consolidation, with the government now moving into what officials describe as a second wave of growth-focused reforms.

BusinessDay reported that in a statement, the Minister of State for Finance, Doris Uzoka-Anite, said the administration’s key priority in 2026 is to scale output, deepen domestic value creation and unlock private capital on a large scale.

“Our focus is to move decisively from stabilisation to growth,” Uzoka-Anite said. “The reforms underway are designed to lower risk, unlock private capital, and ensure that Nigeria delivers sustainable returns for investors while expanding opportunity for our citizens.”

She explained that Nigeria’s economy is entering an expansionary phase, with government policy now focused on productivity, capital formation and export competitiveness rather than short-term macroeconomic firefighting.

Central to the new direction is a Growth Acceleration and Investment Mobilisation framework, coordinated by the Federal Ministry of Finance in close collaboration with the Central Bank of Nigeria.

The government said this coordination is critical to lowering inflation expectations, compressing sovereign risk premiums and reducing the overall cost of capital across the economy.

Fiscal and monetary authorities have jointly adopted a Disinflation and Growth Acceleration Strategy, known as DGAS, which the Finance Ministry said will guide policy execution and help restore investor confidence over the medium term.

“Macroeconomic predictability is essential for investment,” Uzoka-Anite said. “We are focused on consistent policies, disciplined execution and clear sectoral pathways that investors can trust.”

The government’s growth strategy is sector-led, with priority sectors identified as energy and gas-based industrialisation, agribusiness, manufacturing, housing, healthcare, digital services, creative industries, logistics and solid minerals.

Officials said price controls and regulatory bottlenecks that have historically constrained these sectors will be dismantled to enable market-driven expansion.

Domestic value chains are also being positioned as a core pillar of the growth agenda, in line with the Nigeria First policy introduced by President Bola Ahmed Tinubu.

The policy prioritises the use of locally sourced raw materials, labour and intellectual property while maintaining an open and export-oriented economic framework.

Uzoka-Anite said the government aims to rebuild Nigeria’s competitiveness in non-oil exports, citing cocoa processing and agricultural value chains as examples of sectors with immediate potential to boost foreign exchange earnings while meeting international market standards.

Capital formation has been identified as a major component of the 2026 economic agenda.

The government plans to deepen Nigeria’s capital and insurance markets by expanding long-term local currency instruments, improving market transparency and strengthening investor protections.

Pension funds, insurance companies and other institutional investors are expected to play an expanded role in financing infrastructure, housing and productive sectors of the economy.

Alongside this, insurance sector reforms will focus on recapitalisation and improved supervision to strengthen risk management and project bankability, particularly in climate-sensitive and capital-intensive sectors.

“Capital formation is central to our growth acceleration strategy. We are focused on expanding long-term, patient capital, reducing investment risk and ensuring efficient allocation to productive sectors,” she added.

The administration is also placing renewed emphasis on financial inclusion and consumer credit as drivers of domestic demand.

Working with banks, fintech firms and microfinance institutions, the government plans to expand access to affordable credit for households, microenterprises and informal sector participants, with particular attention to women- and youth-led businesses.

Development Finance Institutions are expected to assume a more strategic role in delivering the agenda, following the transfer of quasi-fiscal development finance responsibilities from the Central Bank of Nigeria to the Finance Ministry.

Domestic DFIs such as the Bank of Industry and NEXIM Bank will be repositioned as key execution vehicles for priority sectors, supported by improved capitalisation, stronger governance frameworks and enhanced risk-sharing tools.

With Nigeria’s long-term capital requirements estimated at about N246 trillion through 2036, the government views DFIs as critical to attracting private and foreign capital through blended finance, guarantees and co-investment structures.

On the fiscal front, the government said it will intensify non-oil revenue mobilisation in 2026 following the implementation of new federal tax laws that took effect on January 1.

A new Revenue Optimisation Platform, known as RevOps, is being deployed across federal agencies to enhance compliance, transparency and real-time visibility into government revenues.

Uzoka-Anite said the digitisation of revenue collection, including mandatory electronic receipts for all federal services, will strengthen accountability and improve cash management across government operations.

The administration also plans to optimise domestic debt by extending maturities and reducing short-term interest burdens.

This approach is expected to create fiscal space for infrastructure and human capital investment while easing pressure on financial markets.

To strengthen execution capacity, the government is accelerating the digitisation of public sector workflows and investment approval processes, with the goal of reducing transaction costs and improving Nigeria’s competitiveness as an investment destination.