Nigeria’s economy to outpace UK, US, others in 2025 — IMF
Nigeria’s economy to outpace UK, US, others in 2025 — IMF
IMF Projects Nigeria’s Economy to Outpace UK and Other Advanced Nations in 2025
The International Monetary Fund (IMF) has revised Nigeria’s GDP growth forecast for 2025 upward, projecting a 3.4% expansion, up from its earlier 3.0% estimate in April 2025. This 0.4 percentage point increase positions Nigeria ahead of several advanced economies in terms of expected economic growth, including:
- United Kingdom (1.2%)
- Germany (0.1%)
- Canada (1.6%)
- United States (1.9%)
According to the IMF’s World Economic Outlook report released on Tuesday, this improved projection reflects the impact of Nigeria’s ongoing macroeconomic reforms and the resilience of its economy despite challenging global conditions.
The forecast comes shortly after Nigeria's GDP was rebased by the National Bureau of Statistics (NBS). The rebasing raised Nigeria's GDP for 2024 to N372.8 trillion ($243 billion), up from N314.02 trillion in 2023. This revision captured more of the informal sector, thereby giving a more comprehensive picture of economic activity.
Even with this positive development, Nigeria remains the fourth-largest economy in Africa, trailing South Africa, Egypt, and Algeria. However, the IMF’s latest forecast suggests renewed investor confidence in Nigeria’s economic trajectory.
The report also noted upward revisions for several emerging economies, including:
- China: from 4.0% to 4.8%
- India: from 6.2% to 6.4%
- Brazil: from 2.0% to 2.3%
- Mexico: from -0.3% to 0.2%
By contrast, most advanced economies saw only modest growth revisions, highlighting a growing growth gap between developed and emerging markets.
The IMF attributed the overall global economic optimism to:
- Lower-than-expected US tariffs
- Improved financial conditions
- A weaker US dollar
- Fiscal expansion in major economies
As a result, the IMF now expects global growth in 2025 to hit 3.0%, up from a previous estimate of 2.8%.
