Managing Director and Head of West Africa at JP Morgan, Dapo Olagunju, has warned that Nigeria still faces major economic hurdles despite recent improvements in key indicators, particularly inflation.
Olagunju made the observation while speaking at the ‘Fitch on Nigeria 2025’ economic forum held in Lagos, where top financial experts, investors, and policymakers gathered to review Nigeria’s macroeconomic outlook.
He acknowledged that Nigeria has made progress in stabilising its economy, noting that inflation has dropped significantly within the past year. According to him, the country’s inflation rate, which stood at about 32 percent last year, has now fallen to 16 percent.
However, he stressed that the improvement, while commendable, still leaves Nigeria among countries with the highest inflation rates in the world.
“Challenges still persist. We’ve got inflation running at 16%. It’s nice, we’ve come down from about 32% last year, but it’s still one of the highest in the world,” Olagunju said.
He noted that high inflation continues to put pressure on households, businesses, and investor confidence, urging the Nigerian government and monetary authorities to implement deeper reforms that can deliver long-term price stability.
Olagunju also highlighted the importance of consistent policy direction, improved productivity, and a stronger investment climate to ensure that Nigeria’s recent gains translate into sustainable economic recovery.
He added that resolving structural issues across energy, agriculture, and foreign exchange supply will determine how quickly Nigeria can achieve lower inflation and attract long-term foreign investment.
The forum brought together key financial stakeholders who broadly agreed that while Nigeria is on a path toward economic correction, the country must maintain discipline and accelerate reforms to build on current progress.