The Independent Media and Policy Initiative (IMPI), a prominent Nigerian policy think-tank, has affirmed that President Bola Tinubu’s economic reforms are set to drive significant transformation in the country. This conclusion follows a detailed analysis of the economic shifts since the reforms were introduced 19 months ago.
According to IMPI Chairman, Dr. Niyi Akinsiju, the think-tank’s optimistic assessment spans both the oil and non-oil sectors, despite some initial hurdles. In particular, the think-tank noted that the government’s actions in 2024 resulted in considerable growth in the oil sector.
Key drivers of this positive outlook include the local refining of petroleum, the full deregulation of the downstream sector, the approval of five oil asset sales, and two Final Investment Decisions (FIDs) in 2024. These initiatives have sparked strong interest from foreign investors in Nigeria’s energy sector.
Looking ahead to 2025, oil analysts forecast that Nigeria’s oil production will average 1.7 million barrels per day (bpd), with projections reaching 1.78 million bpd by year-end, excluding condensates. This forecast is bolstered by efforts to combat oil theft, including the implementation of the Advance Cargo Declaration system by the Nigerian Upstream Petroleum Regulatory Commission (NUPRC). This system ensures that all crude oil and gas exports are uniquely identified, helping to verify the legitimacy of export documentation and curb theft.
The Nigerian National Petroleum Corporation (NNPC) also plans to upgrade aging pipelines that have been in use for over 40 years, further supporting operational efficiency and production growth.
Additionally, President Tinubu signed three executive orders in February 2024 aimed at improving Nigeria’s investment climate. These orders, which mandate a maximum contracting cycle of six months for oil sector deals, aim to align with global industry standards and reduce delays that have historically stretched up to two years. This reform is expected to enhance Nigeria’s competitiveness as a top destination for petroleum investments in Africa.
IMPI’s statement reflects growing optimism about Nigeria’s economic future under President Tinubu’s leadership, especially in the energy sector, as reforms continue to attract both local and international investment.