WATCH THE VIDEO HERE Nigeria’s Minister of Finance and Coordinating Minister of the Economy, Wale Edun, has stated that the projected 2025 GDP growth rate of 4.6% falls short of the administration’s ambitions. Instead, the government is aiming for a 7% annual GDP growth to significantly reduce poverty and drive economic transformation. Speaking at the Arise/KPMG Budget Day on Monday, Edun expressed optimism about Nigeria’s economic trajectory, citing anticipated declines in inflation, improved macroeconomic stability, and a more favorable business environment. “We projected growth at 4.6%, but I think that is not our ambition. Our ambition is to, as soon as possible, get to about 7% per annum GDP growth, because it is at that level that you begin to really lift people out of poverty,” Edun remarked. The minister highlighted key drivers of growth, including stronger revenue performance, increased oil production as reflected in budget estimates, and savings from the removal of fuel subsidies. He also emphasized the importance of creating a conducive environment for private sector investment. Edun emphasized the pivotal role of the private sector in addressing Nigeria’s infrastructure deficit, which requires an estimated $100 billion in annual investment. “It is not the government budget that will fund, for example, the infrastructure deficit. The plan, the commitment of Mr. President and his policy is to crowd the private sector,” he explained. He further noted that recent Federal Executive Council (FEC) decisions have cleared bureaucratic hurdles, paving the way for private sector-led projects such as the Benin-Asaba Highway and Lagos-Abeokuta Road under public-private partnerships. These initiatives aim to improve travel efficiency and productivity, with Edun citing a potential 75% reduction in travel time for key routes. On the external front, Edun highlighted positive developments, including a stable exchange rate, a trade surplus equivalent to 13% of GDP, and foreign reserves exceeding $40 billion. This approach, he explained, creates room for private sector access to financial markets, fostering greater investment opportunities. Looking ahead, the minister affirmed the government’s commitment to optimizing its balance sheet by leveraging public assets and encouraging joint ventures and public-private partnerships. He said a stable exchange rate, and greater fiscal transparency position Nigeria as ‘an attractive investment destination.
Nigeria targeting 7% GDP growth, beyond projected 4.6% – Finance Minister Edun
