The Lagos Chamber of Commerce and Industry (LCCI) has raised concerns over the deteriorating operating environment confronting private sector players. The Chamber identified small and medium-scale enterprises (SMEs) as most affected in the face of high energy costs, inadequate infrastructure, regulatory unpredictability and dwindling access to credit.
 
Speaking at the chamber’s 2025 Mid-Year Economic Outlook and Review Conference, held in Lagos, the LCCI President, Gabriel Idahosa, stated that while there have been modest gains in sectors such as telecommunications, services, and the oil industry, structural deficiencies continue to constrain inclusive growth and private sector development. He warned that persistent high inflation, volatile fuel prices, erratic power supply and insecurity were eroding business margins and stalling expansion efforts.
 
Idahosa noted that the Chamber remained committed to fostering a resilient economy through constructive dialogue and policy advocacy. He pointed out that while headline inflation continued to hover at uncomfortable double-digit levels, monetary tightening by the apex bank is yet to translate into meaningful relief for businesses and households.
 
He also called attention to the lingering FX challenges, despite efforts to unify rates and increase transparency. He noted that liquidity shortage, speculative activities and low investor confidence continue to weigh down the market and dampen investment sentiment.
 
Despite these challenges, Idahosa acknowledged areas of resilience and innovation, including the growing impact of fintechs, e-commerce platforms, creative industries and sections of the agricultural value chain.
 
However, he stressed that such progress must be supported with policies that de-risk the investment climate and incentivise long-term capital. To unlock Nigeria’s economic potential, Idahosa called for deeper collaboration between the public and private sectors and called on government agencies to avoid abrupt regulatory decisions that complicate the ease of doing business. He equally called for the prioritisation of infrastructure financing, tax digitisation and institutional reforms to cut governance costs and enhance transparency.He maintained that Nigeria holds vast economic promise due to its youthful population, abundant natural resources and regional positioning.
 
Speaking on the new tax laws and impact on the economy, chair, Presidential Committee on Fiscal Policy and Tax Reforms, Taiwo Oyedele, stressed the need for efficient policy implementation, transparency and consistency, as Nigeria moves to implement newly enacted tax reforms.
 
He said the country was undergoing a macroeconomic recovery, marked by a declining debt-service-to-revenue ratio, which dropped from 97 per cent in 2022 to below 50 per cent by the end of 2024.
 
He, however, warned that macro-level progress is yet to trickle down to Nigerians.He stressed the urgency of converting macroeconomic progress into tangible improvements in people’s lives through decent job creation and support for local businesses, noting that interest rates remain too high for legitimate businesses to thrive.
 
He further lamented the inequities in the country’s former tax structure, which, he said, disproportionately burdened the poor while enabling evasion by the wealthy and politically connected.  He also estimated that Nigeria’s public assets could be worth over N100 trillion, with the potential to unlock enormous value if properly managed or divested.

Founder and Chief Consultant, BAA Consult, Dr Abiodun Adedipe, described Nigeria’s economy as resilient despite global disruptions.He noted that the country’s trade performance in early 2025 posted a surplus of N5.2 trillion, with non-oil exports, particularly agricultural products, growing by nearly 25 per cent. This, he said, underscores the potential of Nigeria’s productive sectors if adequately supported.
 
He projected economic growth of 3.92 per cent by the end of 2025, a slight rise from 3.40 per cent in 2024, alongside a drop in inflation to 21.7 per cent. He said a stable FX and a slight increase in foreign reserves were also expected to support business planning and investor confidence.
 
He highlighted agriculture, real estate, e-commerce, fintech and waste management as key growth areas, encouraging entrepreneurs to tap into emerging opportunities in these sectors, adding that with consistent policy direction and private sector engagement, Nigeria can overcome its production shortfalls and build a more competitive, inclusive economy.