Nigeria’s private sector expanded at its fastest pace in 2025 in December, with the Composite Purchasing Managers’ Index (PMI) rising to 57.6 points.
This is according to the latest PMI report released by the Central Bank of Nigeria (CBN).
The December reading represents an improvement from 56.4 points in November, signaling accelerating economic activity across major sectors of the economy.
The CBN noted that the latest PMI figure marks the strongest expansion recorded so far in 2025.
What the data is saying
A closer look at the PMI sub-indices shows broad-based improvements. The Output Index rose to 60.0 points, reflecting higher production levels, while the New Orders Index climbed to 58.7 points, indicating stronger demand conditions.
The Employment Index increased to 54.2 points, suggesting continued job creation, while Raw Materials Inventory stood at 54.5 points, pointing to better stock availability. Suppliers’ Delivery Time improved significantly to 58.2 points, highlighting enhanced supply chain efficiency.
By sector, the Industry PMI settled at 57.0 points, with 14 of the 17 industrial subsectors recording expansion.
Transportation equipment recorded the strongest growth, while paper products posted the most pronounced contraction, though the CBN noted that these contractions were marginal.
“Overall, the December 2025 PMI data showed a sustained expansion in economic activities across all sectors, outperforming all earlier sectors recorded during the year,” the report stated.
What this means
The December PMI data points to strengthening business confidence and sustained economic recovery across Nigeria’s key productive sectors.
Rising output, stronger demand, improved logistics, and steady employment growth suggest that private-sector activity is gaining momentum heading into 2026.
The Services PMI stood at 56.4 points, marking its eleventh consecutive month of expansion, while the Agriculture PMI rose to 58.5 points, extending its growth streak to seventeen consecutive months, the longest in the PMI series.
Taken together, the CBN’s PMI readings reinforce expectations of continued expansion in Nigeria’s private sector, supported by improving operating conditions, resilient consumer demand, and more efficient supply chains.
What you should know
Earlier, Nairametrics reported that Nigeria’s Composite Purchasing Managers’ Index (PMI) climbed to 56.4 index points, up from 55.4 in October.
Growth in all major sectors—industry, services, and agriculture—signals an economy that is expanding on multiple fronts.
A CBN survey shows that insecurity, high taxes, and unreliable power supply remained Nigeria’s top business challenges, despite stronger confidence and growth expectations.
The prominence of these constraints stands in contrast to the generally positive outlook reported by firms.
