Economic activity in Nigeria expanded for the second consecutive month in July 2026, according to the Central Bank of Nigeria.

The Purchasing Managers’ Index rose to 51.1 points, signalling continued improvement in overall business conditions.

The CBN report showed that 20 of the 32 subsectors surveyed recorded growth, while the remaining 12 contracted. The composite PMI edged up from the previous month, reflecting a modest recovery in economic activity.

The industrial sector, however, remained in contraction as its PMI fell to 49.6 points. Eight of the 16 industrial subsectors expanded, while the other eight declined. In contrast, the Services PMI returned to growth at 51.1 points after three months of contraction, with eight of 11 subsectors expanding.

Agriculture continued as the strongest-performing sector, holding steady at 52.1 points and extending its expansion streak to 24 consecutive months. Four of the five agricultural subsectors posted growth, though crop production contracted.

The apex bank also noted easing inflationary pressures, with both input and output price indices declining. Overall, the July PMI pointed to a recovery driven by sustained expansion in agriculture and services, which offset the weakness in industry.

Photo credit: Punch Newspaper