[BREAKING] Bagudu: Nigeria’s Economy Witnessing Significant Turning Around on Back of Bold Reforms

The Minister of Budget and Economic Planning, Senator Abubakar Atiku Bagudu, on Wednesday declared that Nigeria’s economy was witnessing a significant turnaround, driven by bold reforms, improved coordination, and a renewed focus on national priorities.

This was as the United Kingdom on Wednesday, commended economic reforms being carried out by the President Bola Tinubu’s administration

The British High Commissioner to Nigeria, Richard Montgomery gave the commendation at a press conference on UK-Nigeria trade in Abuja.

In an interview for an upcoming TV documentary to mark President Bola Tinubu’s second anniversary, the Bagudu, in a statement by presidential spokesperson, Bayo Onanuga,

affirmed that the government’s ‘Renewed Hope Agenda,’ was working and winning investors at home and abroad.

“This is two years well spent,” Bagudu confidently stated, reaffirming the government’s commitment to the economic reforms.

“Mr. President confronted Nigeria’s economic realities with bold and necessary choices—tough as they might be—and those measures are now yielding results,” he added.

Bagudu noted that the reform-driven economy has seen four consecutive quarters of Gross Domestic Product (GDP) growth, exchange rate stability, and a resurgence in private sector confidence.

His words: “We have seen four quarters of successive economic growth, stability in foreign exchange, and appreciation by Nigerians and the international community. Rating agencies have consistently appreciated what we are doing.”

He added that foreign and domestic investors have responded positively to the government’s economic agenda, particularly in agriculture, energy, and infrastructure.

“We have seen investors from Brazil, Belarus, and Saudi Arabia increasingly entering our agricultural space. The world economic community and multilateral institutions are putting more faith in our economy.”

According to the Minister, the renewed interest stems from the administration’s commitment to credibility, transparency, and structural change.

“Investors want to see good policy—can I get paid back? Are the numbers credible? Is the environment transparent? That’s why they appreciate when they see quarterly GDP growth,” he said.

“For the first time in 25 years, Nigeria is refining oil. Mr. President was courageous enough to allow crude oil sale in naira to our refiners. This is a testament to his belief in our economy,” he added.

Bagudu described removing fuel subsidies and unifying the foreign exchange market as transformative decisions restoring fiscal sanity.

“We were losing five percent of our GDP on fuel subsidy—money going to just a few,” he said. “Mr. President took the courageous step to end it.”

“The foreign exchange reform removed uncertainty and favouritism. We now have a fair market—willing buyer, willing seller—which has generated revenue growth and boosted private sector confidence.”

Bagudu said the 2024 and 2025 budgets made fiscal responsibility and strategic investment in priority sectors.

“We have increased spending in health, education, infrastructure, security, and technology. The 2024 budget achieved significant deficit reduction, and more importantly, it showed that we are serious—and the markets believed us,” he added.

He emphasised Tinubu’s respect for the rule of law, even in managing inherited debt and central bank financing.

According to him, “Mr. President inherited N22.7 trillion in Ways and Means financing, but he insisted on respecting the central bank’s independence. That discipline is earning us credibility globally.”

The Minister credited the Presidential Economic Coordination Council and the Economic Management Team—led by President Tinubu and Coordinating Minister for the Economy, Wale Edun— with ensuring coherent, results-driven governance.

His words: “This is teamwork. The President is the chief coordinator. He understands the global economic context, and the private sector respects him. We’re not just doing government-to-government coordination—the private sector is part of this reform effort.”

While acknowledging that the reforms may feel challenging in the short term, Bagudu likened the process to a necessary fitness regimen.

“Our economy is like a body going to the gym. It might feel painful now, but the muscles of progress are forming.

“Mr. President is saying: ‘I’m ready to take the pain so our children and grandchildren will inherit a more prosperous Nigeria.’ This isn’t just economic reform—it’s a moral responsibility,” Bagudu added.

Meanwhile, during the press conference, Montgomery pointed out though the reforms have brought high inflation and hardship, they were necessary for future growth and stability of the country.

He said: “President Bola Tinubu’s economic reforms are working, and they have made Nigeria more investible.

“The Naira is now more stable and more predictable. And the last quarter, Nigerian economy has grown by four percent.”

He also noted that the UK was also carrying out economic reforms that would be beneficial to Nigeria because they would make business investment’s more predictable, and simplify regulations of doing business.

“We also have reforms in the UK economy and we are working on how they can benefit Nigeria.”

The Director General, Presidential Enabling Business Council (PENEC), Zahrah Mustapha Audu, on her part said the Naira was now more stable, which, according to her, was good for investors.

She said: “This conversation is about investment and trade; to me the Naira is more stable because it’s more predictable and before my appointment as DG, I use to work with the president on Foreign Direct Investment (FDI), as a technical adviser and I can tell you; one of the key things that investors look for is stability and predictability.

“People invest in Afghanistan not because it’s better than Nigeria. It was a war zone, but because it was predictable.

“And that is what President Tinubu has created in Nigeria. There is predictability, we no longer have that market window where we had people who were simply trading the Naira. Those have been eradicated.”

Speaking further she said: “What we’ve done now is that we have stopped the ability for agencies or departments or ministries to come up with new policies. It must go through all the stakeholders’ engagement; it must go through all the assessments to make sure that the positives far outweigh the adverse reactions of the businesses.”

“We are also doing everything possible to grow our local economy.” She added

The British Country Director, Department of Business and Trade, Mark Smithson, disclosed that UK-Nigeria trade volume was currently at £7.2 billion.

“The UK has approved zero tariffs on 3000 exports from Nigeria, which include cocoa, cashew nuts, tomatoes, and others.”