Major challenge with Nigeria’s 4.43% GDP growth – Economist, Oyedokun

A Professor of Accounting at Lead City University, Prof. Godwin Oyedokun, has explained the major challenge with Nigeria’s 4.43 percent Gross Domestic Product (GDP) growth in the second quarter of 2026.

Oyedokun, who spoke in an interview with DAILY POST, said the growth was evidence that the Nigerian economy was gaining momentum, particularly as the services and agricultural sectors led the expansion. However, he noted that the growth had yet to translate into improved living standards for Nigerians.

According to him, the major challenge was translating macroeconomic growth into improved welfare for households across the country.

He said Nigerians were more concerned about whether their real incomes, purchasing power, employment opportunities and ability to afford basic necessities had improved than the headline GDP growth figure.

“GDP growth should not be confused with improved living standards,” he said.

Oyedokun explained that an economy could expand while households continued to struggle if the growth was not sufficiently productivity-driven, employment-generating and income-enhancing.

He noted that growth in agriculture does not automatically mean lower food prices, just as expansion in the services sector may not necessarily create enough well-paying jobs.

The accounting professor urged the federal government to ensure that the next phase of its economic reforms focuses on translating growth into higher productivity, stronger manufacturing, quality employment, rising real wages and lower production and living costs.

“In simple terms, 4.43 percent GDP growth is good news, but it is not yet prosperity,” Oyedokun said.

He stressed that the real test of President Bola Tinubu’s economic reforms would be whether the growth eventually translated into increased disposable income for Nigerians and a measurable improvement in their quality of life.

“GDP growth is the engine; productivity, jobs, income and purchasing power are the transmission system. Nigeria has started the engine, but the transmission to households remains weak,” he added.