Professional services firm KPMG has projected that Nigeria’s economy will remain resilient and sustain growth momentum, with output expected to expand by 4.5 per cent by 2026.

Speaking at the KPMG Audit Committee Seminar 2026, Partner, Strategy and Customer Solutions, KPMG West Africa, Wole Adelokun, said the outlook is supported by easing inflationary pressure, less restrictive credit conditions, expectation of relative naira stability, higher investment flows, sustained oil production stability and expansionary fiscal spending ahead of elections.

He noted that inflation would moderate but remain in double digits over the medium term, declining to about 11 to 13 per cent.

According to him, the projected slowdown in inflation will be driven by tight domestic monetary policy and reduced currency pressure amid the relaxation of global monetary conditions.

On the foreign exchange market, Adelokun projected that the naira would remain fairly stable at an average of N1,400/$.

He attributed the anticipated stability to improved liquidity in the FX market, bolstered by growing external reserves, inflows from dollar-denominated loans and stronger price discovery associated with the Central Bank of Nigeria’s (CBN) Electronic Foreign Exchange Matching System.