The United Kingdom is stepping up its cooperation with Nigeria. Their goal? To streamline business operations, ease obstacles, and establish a reliable environment that encourages investment, job creation, and sustainable growth.
At a recent discussion, Alice Clarke, who heads Macroeconomic Stability at the British High Commission in Nigeria, emphasized this commitment. This event was part of ‘The Reform and Diplomatic Roundtable 2026’ organized alongside the Nigeria Economic Stability and Transformation (NEST) program aimed at driving macroeconomic reforms in Nigeria.
According to Clarke, businesses often don’t see reforms in a theoretical sense. They experience them through the practicality of permits, power supply, and institutional support when issues arise. She highlighted the need for consistent improvement in these areas.
During the presentation of Nigeria’s investment outlook for 2026, expert Afolabi Imoukhuede provided a cautiously optimistic view. Notably, the Central Bank of Nigeria (CBN) has signaled a positive shift for the economy. Recent International Monetary Fund (IMF) projections indicate a 4.4% growth rate for Nigeria’s economy in 2026, suggesting that investor confidence is gradually returning.
However, Imoukhuede warned that investment capital is still very selective and driven by risk awareness. Although Nigeria is attracting some capital flows, these are often short-term investments. To foster real growth, Foreign Direct Investment (FDI) must be aimed at sectors that enhance foreign exchange earnings and create jobs.
He pinpointed vital sectors for FDIs, including agriculture, manufacturing, logistics, renewable energy, and the digital economy. These sectors hold great potential for boosting job creation and should be prioritized.
Imoukhuede argued that the top ten states in the Ease of Doing Business ranking should become prime investment destinations, known as FDI ‘Landing Zones’. This designation would reflect attributes like efficient approval processes, predictable regulations, and robust investor support, which collectively reduce risk for investors.
In a keynote speech on the importance of planning for investment, Senator Abubakar Atiku Bagudu explained how Nigeria’s federal structure allows states to play a pivotal role in attracting investment. He reiterated that the nation’s aim of building a $1 trillion economy by 2030 hinges on collaboration between states and the private sector.
Bagudu stressed that creating a thriving economy requires a collective effort amongst the three tiers of government and acknowledged that a competitive environment among states has led to significant improvements in economic performance. This entrepreneurial spirit among citizens, spanning all states, remains a crucial asset for Nigeria.
As Nigeria works toward a brighter economic future, the cooperation between the UK and Nigeria may serve as a vital pathway to unlocking new opportunities and fostering growth.
