Nigeria’s private sector recorded its first contraction in over a year at the start of 2026, as weak demand dragged new orders to a standstill and slowed business activity, according to the latest Stanbic IBTC Bank Purchasing Managers’ Index (PMI). The headline PMI fell sharply to 49.7 in January from 53.5 in December, slipping below the 50-point threshold that separates expansion from contraction. Output rose only marginally as a result, while purchasing activity and stocks of inputs increased at much slower rates. Purchase prices rose sharply amid higher raw material costs, pushing input price inflation to a three-month high. The Stanbic IBTC PMI survey, compiled by S&P Global from responses from about 400 private sector firms across agriculture, mining, manufacturing, construction, wholesale, retail and services, is regarded as a key early indicator of economic trends.

Source: The Guardian February 02, 2026 23:39 UTC