Business confidence index climbs to 111.3 as key sectors expand in October 2025
Nigeria’s business environment strengthened further in October 2025 as the national Business Confidence Index rose to 111.3 points from 107.9 in September, reflecting renewed optimism among private sector operators.
The latest survey from the NESG Stanbic IBTC Business Confidence Monitor shows that the steady rise in the index is driven by improving perceptions of current business conditions, easing inflation, and a relatively stable exchange rate.
The report indicates that the business climate maintained its positive momentum, with the Current Business Performance Index firmly in expansion territory. October’s performance also marks a significant improvement over the corresponding period of 2024 when the index stood at 76.8 points, underscoring stronger year on year sentiment.
All five broad economic sectors posted expansion in October. Manufacturing and Trade recorded the most notable gains, rising by 8.8 points and 7.8 points to 111.3 and 115.4 points.
Non Manufacturing recorded 115.0 points, Agriculture 111.4 points, and Services 111.0 points, each maintaining positive growth although at a slower pace compared with September.
In the Agriculture sector, the index climbed from 107.3 points in September to 111.4 points in October. The improvement was supported by stronger performances in Crop Production and Agro Allied industries. Better seed varieties, targeted government input programmes, easing inflation, and a more stable exchange rate helped boost confidence.
Livestock and Forestry sub sectors also posted growth, though at a slower rate. The sector continues to face challenges such as raw material shortages, recurring outbreaks of animal diseases, and increasing feed and input costs, all of which elevate production costs and market prices.
The Manufacturing sector recorded a solid recovery after a previous contraction. The index rose sharply to 111.3 points from 102.5 in September. Key subsectors including Food, Beverage and Tobacco as well as Cement recovered strongly.
Businesses credited the improved performance to relatively stable power supply, better access to finance, and improved stability in the foreign exchange market. More effective navigation of policy and regulatory issues also supported the rebound.
The Services sector continued its modest growth trend, rising to 111.0 points from 108.5 in September. The report attributes this to improvements across several sub sectors and a more favourable macroeconomic climate shaped by easing inflation and exchange rate stability.
Professional, Scientific and Technical Services and Other Services recorded slower growth, pointing to the fragile nature of the sector’s recovery and the need for deeper reforms.
The report calls for urgent measures to consolidate the gains achieved so far. It highlights the need for stronger infrastructure, improved security conditions, a more predictable policy environment, and enhanced access to credit.
The rise in the Business Confidence Index reflects renewed optimism within Nigeria’s private sector. The broad based expansion across Manufacturing, Trade, Agriculture, Services, and Non Manufacturing suggests that economic recovery is becoming more evenly distributed rather than concentrated in a few industries. Such widespread improvement signals a more resilient and stable economic outlook.
Recent data shows that Nigeria’s private sector continued its upward trend in November 2025, with the Composite Purchasing Managers Index rising to 56.4 points from 55.4 in October. This indicates a stronger and broad based improvement in economic activity as the country maintains a steady rebound.
