By Nigeria’s private sector recorded its strongest growth in over a year this February, as business conditions improved for the third month in a row, according to new data from Stanbic IBTC’s Purchasing Managers’ Index (PMI).
The PMI rose to 53.7 in February, up from 52.0 in January, signaling faster expansion across industries. The report highlighted increased output, more new orders, and stronger purchasing activity — all supported by improving demand and easing inflation pressures.
A reading above 50.0 indicates improving business conditions, while anything below 50.0 signals a decline. February’s reading confirms a steady upward trend for Nigeria’s private sector, despite broader economic challenges.
The Stanbic IBTC report noted that output increased across key sectors including agriculture, manufacturing, services, and retail. However, the retail sector’s growth was minimal compared to others. New orders grew at their fastest pace in over a year, showing that customer demand is picking up.
The report also credited the easing of inflation pressures for boosting confidence among businesses. Lower costs helped firms manage expenses better, allowing them to increase production and purchasing activity without passing heavy costs onto customers.
With demand rising and inflation cooling, analysts see this as a positive sign for Nigeria’s economic outlook in the months ahead, especially if stability continues in key sectors.
