Nigerian businesses expressed broad optimism about the economy in February 2026, even as insecurity, high taxes, and poor power supply continue to weigh on operations, a Central Bank of Nigeria survey has shown.

The CBN’s Business Expectations Survey, which polled 1,900 business enterprises across the country, put the Confidence Index at 39.4 points for February. Businesses expect this to rise to 54.3 points over the next six months.

The industry sector recorded the highest confidence among the three broad sectors surveyed, scoring 43.2 index points, ahead of Agriculture at 38.5 and Services at 37.8.

At the subsector level, Mining and Quarrying led all sectors with a confidence index of 52.4 points on its operations, followed by Construction at 43.6. Market Services recorded the lowest at 24.9.

Geographically, the North-East region was the most optimistic, reporting 51 index points, while the South-East returned the lowest reading at 29.8. The South-West recorded the strongest forward-looking outlook across all review periods.

Businesses also anticipate hiring more workers in March, with Construction showing the highest employment prospects. Mining and Quarrying led expansion plans for March 2026. Average capacity utilisation across all sectors stood at 55.4 per cent, with Agriculture recording the highest at 56.3 per cent.

On the exchange rate, respondents expect the naira to appreciate steadily against the dollar over the coming months, with the index rising from 32.5 currently to 43.5 in six months.

Despite the positive sentiment, firms flagged significant obstacles. Insecurity topped the list of business constraints at 71.1 index points, followed closely by high and multiple taxes at 70.7, and insufficient power supply at 70.0. High interest rates and bank charges rounded out the top five.