The Central Bank of Nigeria’s (CBN) Business Expectations Survey for September 2025 reports that excessive bank charges, multiple taxation, and poor infrastructure are the primary factors inhibiting business growth and investment across Nigeria. A significant 70.8% of surveyed respondents identified high bank and financial charges, along with the imposition of multiple taxes and levies by different tiers of government, as a key constraint. Poor infrastructure trailed closely, cited by 70.7% of firms as a critical challenge limiting expansion.
The survey further highlighted that an unfavourable economic climate was cited by 69.2% of businesses as directly impacting their stability and profitability. Insecurity (64.8%) and limited access to credit (64.6%) also remain major hurdles. Notably, challenges such as insufficient power supply (37.8%) and competition (40.4%) ranked lower. This suggests that during the review period, businesses felt financial and regulatory pressures more acutely than political and infrastructure issues.
Despite these persistent challenges, the overall Business Confidence Index for September 2025 stood at 31.5 points, reflecting a moderate level of optimism among firms regarding current conditions. This positive outlook is projected to increase significantly, rising to 42.2 points in October and a strong 51.8 points over the next six months. This optimism is primarily driven by expectations of improved company turnover, better business activity, and general economic conditions, particularly within the services and wholesale/retail trade sectors. Respondents also anticipate increased access to credit and new investment opportunities.
However, the survey noted significant regional disparities in confidence levels. Businesses in the North-East recorded the highest confidence at 48.7 points, while those in the South-East were the least optimistic, registering only 7.3 points. Although firms across all sectors (services, manufacturing, construction, agriculture, and wholesale/retail trade) reported optimism for the near term, this positive outlook is tempered by persistent uncertainties surrounding government policies and foreign exchange stability.
Separately, the CBN’s Inflation Expectation Survey revealed that despite efforts by monetary authorities to curb inflation, most Nigerians anticipate that prices will continue to rise over the next three to six months. Many households and businesses perceive current inflation as “high” and expect it to persist in the short to medium term. According to the data, 26.5% of respondents anticipate prices will increase further in the next month alone.
