Nigeria's PMI Falls to 49.4, First Contraction in 16 Months

In April 2026, Nigeria's Purchasing Managers' Index (PMI) dropped to 49.4, indicating the first contraction in 16 months, as reported by the Central Bank of Nigeria (CBN). This decline reflects a broad-based slowdown across key sectors, particularly in industry and services, with agriculture remaining resilient.

The composite index's contraction was largely driven by weakened demand conditions, as business activity output fell to 49.7 and new orders sharply declined to 48.4. Employment levels also dropped to 49.6, suggesting reduced economic momentum.

Inventory levels weakened, with the raw materials index at 48.7, indicating decreased purchasing activity among firms. Despite the downturn, supplier delivery times improved slightly at 50.9.

The industrial PMI stood at 49.5, indicating contraction, while the services sector recorded a deeper contraction at 48.8. The agricultural sector, however, maintained its expansion streak with a PMI of 50.2, marking 21 consecutive months of growth.

Price pressures intensified, with input and output price indices rising, reflecting increased product costs.