At the Nigeria Economic Summit Group’s 2026 Macroeconomic Outlook event in Lagos, Dr. Samer Matta, the World Bank’s Senior Economist for Nigeria, stressed that stabilizing the economy alone won’t guarantee better living standards for households.
During the discussion, Matta stated, “Economic growth is positive, but if it doesn’t benefit the most vulnerable, its impact is hollow.”
The World Bank pointed out that inflation, weak competition in major sectors, and inconsistent government spending across states are preventing the economic rebound from reaching ordinary Nigerians.
Matta observed that while state governments now handle larger budgets, their spending often doesn’t match public needs, especially in education, healthcare, and social welfare.
“Policymakers must look beyond overall growth numbers. Controlling inflation, directing funds more effectively, and expanding social safety nets are crucial to ensuring households feel the benefits,” Matta added.
He also emphasized the need for deeper reforms, including boosting private sector involvement and increasing domestic savings, to maintain long-term economic stability.
“Monetary policy isn’t enough to bridge the divide between economic stability and real-life improvements. A mix of fiscal, structural, and social policies is necessary for inclusive growth,” Matta explained.
The World Bank raised concerns about the upcoming election year, warning that a lack of fiscal discipline could undo recent progress.
“If authorities become complacent, the economic gains achieved so far could easily unravel,” Matta warned.
Additionally, Matta highlighted the urgency of investing in human capital, stating that early education, basic healthcare, and skills development are vital to harnessing Nigeria’s youth potential and boosting future productivity.
This warning comes as Nigeria works to solidify economic reforms, stabilize its financial sector, and attract private investment—all while grappling with widespread poverty affecting millions.
