By Benson Daniel
Nigeria’s agricultural sector recorded its 24th consecutive month of growth in July 2026, contributing to a sustained expansion of private sector business activity, according to the latest Purchasing Managers’ Index (PMI) report.
The report indicated that overall private sector performance improved during the month, driven by stronger output, increased demand and continued expansion across key sectors of the economy. Agriculture remained one of the strongest performing sectors, maintaining a steady growth trend that has lasted for two years.
Analysts attributed the sector’s resilience to improved farming activities, stronger market demand and increased business confidence despite ongoing challenges such as high production costs, inflationary pressures and logistics constraints.
The PMI survey also showed that businesses continued to record growth in new orders and output, although many firms remained concerned about rising input costs, which continued to put pressure on profit margins. Companies responded by adjusting prices while seeking greater operational efficiency.
Economic experts noted that the sustained expansion in agriculture reflects the sector’s growing importance to Nigeria’s economic recovery and food security. They added that continued investment in agricultural infrastructure, mechanisation and access to finance would be essential to maintaining the growth momentum.
The latest PMI figures suggest that Nigeria’s private sector remains on a gradual recovery path, supported by improving business activity across agriculture, manufacturing and services, even as firms navigate a challenging macroeconomic environment.
Stakeholders have called for policies that address inflation, improve transportation infrastructure and strengthen access to credit to ensure that businesses can sustain growth and enhance productivity in the months ahead.
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