ABUJA, Nigeria (BG) — Nigeria has made significant progress in stabilizing its economy, recording 3.84% GDP growth in the fourth quarter of 2024, nearing its 3.4% annual target, according to the country’s finance ministry.

Minister of Finance and Coordinating Minister of the Economy, Wale Edun, made the announcement over the weekend during a comprehensive update on the country’s economic trajectory, highlighting significant gains in growth, fiscal discipline, and investment readiness.

The minister stated that inflation is easing, government revenue increased by 20% in the last fiscal year, and the exchange rate has begun to show signs of strengthening.

He highlighted a reduced budget deficit, enhanced fiscal discipline, and a decline in debt servicing as a percentage of revenue.

Edun also reaffirmed the government’s goal to raise the tax-to-GDP ratio to 18% through expanded compliance, digitization and a broader tax base.

Highlighting private sector engagement as essential to the next phase of growth, Edun announced plans for a ₦1 trillion ($625 million) low-interest mortgage fund and emphasized the role of pension and institutional funds in financing infrastructure, including 5,000 kilometers of road under the Highways Management and Development Initiative.

The minister noted that while the government is pursuing economic diversification, oil revenue remains essential to Nigeria’s economic strategy.

Plans are underway to boost local refining capacity to 1.2 million barrels per day and strengthen investor confidence in the sector.

Exporters are also being encouraged to shift focus to domestic and regional markets amid global trade disruptions.

With Nigeria’s median age at 16.9 and more than 600,000 graduates entering the labor market annually, youth-focused programs — including a national sports empowerment initiative — are also key to the government’s economic strategy.

The briefing emphasized Nigeria’s commitment to fiscal responsibility, private investment and inclusive growth.