FX.co ★ Nigeria Private Sector Activity Growth at Over 1-Year High

The Stanbic IBTC Bank Nigeria Purchasing Managers' Index (PMI) increased to 54.3 in March 2025, up from 53.7 in February. This rise marks the fourth successive month of expansion in the private sector, and it is the most robust growth observed since early 2024. There were accelerated increases in output, new orders, employment, and purchasing activity as demand continued to improve. Moreover, suppliers' delivery times consistently shortened, attributed to enhanced vendor performance driven by prompt payments and favorable road conditions. In terms of pricing, Nigerian companies experienced a significantly slower rise in input costs in March, registering the mildest increase since May 2023, yet the rise remains noteworthy. Consequently, output price inflation eased for the third consecutive month, hitting its lowest point since May 2023. However, looking ahead, firms exhibited reduced optimism regarding the 12-month business activity outlook. Confidence reached a three-month low and fell below the average for the series.