Nigeria’s Economy Gains Speed as CBN Unveils Fastest-Growing Subsectors in 2025
- Nigeria's economic recovery strengthened in December 2025 with 32 of 36 subsectors showing growth
- CBN's composite PMI rose to 57.6, marking a robust 13-month expansion in economic activity
- Transportation equipment sector led growth, while naira ended 2025 on a weaker note despite CBN interventions
Nigeria’s economic recovery gathered stronger momentum in December 2025 as business activities expanded across most sectors, according to the latest Purchasing Managers’ Index report released by the Central Bank of Nigeria.
The apex bank disclosed that 32 out of 36 subsectors surveyed recorded growth during the month, underlining a broad-based expansion that capped the year on a positive note.
Source: Twitter
Composite PMI signals stronger expansion
CBN’s composite PMI rose to 57.6 index points in December from 56.4 points in November, reflecting a faster pace of economic activity. Any reading above 50 indicates expansion.
According to the central bank, this marks the 13th consecutive month of growth and represents the strongest aggregate performance recorded in 2025.
“Overall, the December 2025 PMI data showed a sustained expansion in economic activity across all sectors, outperforming all earlier indices recorded during the year,” the CBN stated.
The bank attributed the improvement to stronger output, rising new orders, and steady demand across industry, services, and agriculture, reinforcing optimism about economic conditions in the final quarter of the year.
Transportation equipment tops fastest-growing subsectors
A closer look at the data shows that transportation equipment emerged as the fastest-growing subsector in December. Out of the 36 subsectors covered, only three recorded contractions, with paper products posting the steepest decline.
Economic activity in professional, scientific, and technical services remained unchanged during the period.
However, the CBN noted that the contractionary impact from the few lagging subsectors was minimal and insufficient to offset the widespread expansion recorded elsewhere.
Industry sector records festive-season boost
According to a report by TheCable, the industry sector PMI stood at 57.0 points in December, indicating sustained expansion supported by increased production during the festive season.
Output, new orders, and employment indices improved to 59.5, 57.4, and 53.4 points, respectively, signalling stronger factory activity and labour engagement.
Supply-chain conditions also improved, with raw materials inventory rising to 54.9 points and suppliers’ delivery time index at 58.2 points.
Of the 17 industrial subsectors surveyed, 14 recorded expansion. Transportation equipment led the growth, while paper products experienced the most significant contraction.
Services sector extends growth streak
The services sector PMI increased to 56.4 points in December, marking the 11th straight month of expansion.
Business activity, new orders, employment, and inventories all posted solid gains, reflecting steady demand and operational stability.
All 14 service subsectors recorded growth except professional, scientific, and technical services, which remained flat.
Motion pictures, cinema, sound recording, and music production recorded the highest expansion, while transportation and warehousing saw the slowest growth within the sector.
Agriculture maintains longest expansion run
Agriculture remained the most resilient sector, with its PMI climbing to 58.5 points in December.
This marked the 17th consecutive month of expansion, the longest growth streak among the three sectors.
Source: Twitter
General farming activities, new orders, employment, and raw materials inventory all recorded strong gains, while livestock posted the highest expansion among agricultural subsectors.
The CBN said the sustained performance across sectors points to robust growth momentum heading into 2026, reinforcing confidence in Nigeria’s economic outlook.
Naira ends 2025 woefully despite CBN’s interventions
Legit.ng earlier reported that the naira ended 2025 on a sour note, depreciating further at the official foreign exchange window despite sustained dollar sales by the Central Bank of Nigeria (CBN) aimed at stabilising the market.
The weak close capped a year defined by heavy intervention, fragile confidence, and persistent demand pressures.
Data from the central bank showed that the naira weakened by ₦3.17 against the US dollar to close at ₦1,445.68/$ at the official window.
Source: Legit.ng
