The World Bank has reiterated its projection that the Nigerian economy would grow by 3.6 per cent in 2025 despite the shift in the global trade dynamics.
This was disclosed in its twice-yearly Global Economic Prospects report released on Tuesday, where it slashed its forecasts for nearly 70 per cent of all economies, including the United States, China, and Europe, as well as six emerging market regions, from the levels it projected just six months ago, before US President Donald Trump took office.
The World Bank also slashed its global growth forecast for 2025 by 0.4 percentage points to 2.3 per cent, saying that higher tariffs and heightened uncertainty posed a “significant headwind” for nearly all economies. It warned that global growth could be weaker than projected if global trade tensions were to escalate further.
Earlier in the year, the World Bank projected that Nigeria’s economy would grow by 3.6 per cent in 2025, building on an estimated expansion of 3.4 per cent in 2024, as key macroeconomic reforms begin to stabilise the business environment.
However, in its latest report, the bank stated, “Growth in Nigeria is forecast to strengthen to 3.6 per cent in 2025 and to an average of 3.8 per cent in 2026-27. Following monetary policy tightening in 2024 to address rapid currency depreciation, inflation is projected to decline gradually.
