Nigerian CEOs Report Limited Impact of Infrastructure Spending

Chief executive officers (CEOs) of manufacturing companies in Nigeria have indicated that government infrastructure spending has not significantly enhanced their productivity. This sentiment was expressed in the Manufacturers’ CEOs Confidence Index (MCCI) report for the second quarter of 2026, which showed a slight increase from 48.7 to 52.1 points.

The CEOs criticized the high cost and size of credit from commercial banks, attributing this to the Central Bank of Nigeria's (CBN) monetary policy rate of 26.5 percent. They also expressed dissatisfaction with foreign exchange sourcing improvements, stating that these have not allowed them to produce at full capacity.

Additionally, concerns were raised about overregulation and uncertainty regarding the Nigeria Tax Act 2025, which could undermine anticipated benefits. The report noted that persistent port gridlocks hinder timely importation of materials, although there were improvements in local sourcing.

Despite these challenges, the MCCI indicated a return of confidence in the business environment among manufacturers.