Nigeria has emerged as the highest-performing African Economy in the economic performance pillar of the 2026 International Institute for Management Development (IMD) World Competitiveness Ranking, yet the country slipped to 68th place out of 70 economies in the overall competitiveness standings.
The IMD ranking evaluates 70 countries across four pillars: economic performance, government efficiency, business efficiency, and infrastructure. Nigeria scored 45.2 points in economic performance, placing 55th globally and leading a group of six African nations assessed. South Africa followed with 36.27 points at 64th worldwide, while Ghana secured 34.6 points at 65th. Kenya ranked 66th with 33.19 points, Namibia placed 68th with 22.3 points, and Botswana closed the group at 69th with 18.25 points. The 26.95-point gap between Nigeria and Botswana underscores the disparity within the continent’s evaluated economies.
Despite this relative strength, Nigeria’s overall competitiveness score of 38.8 points represents a one-place decline from its 2025 position. Government efficiency fell to 53rd from 50th, business efficiency dropped to 63rd from 59th, and infrastructure plummeted to last place at 70th, down from 68th the previous year.
Within the economic performance pillar, Nigeria ranked 51st in domestic economy, 64th in both international Trade and international investment, 61st in prices, and 64th in employment. Government efficiency revealed sharp contrasts: the country placed 16th in public finance and 15th in tax policy but languished at 69th in institutional framework and societal framework, and 58th in business legislation. Business efficiency rankings showed a 22nd place in labour market offset by 70th in finance, 65th in productivity and efficiency, 62nd in management practices, and 58th in attitudes and values. Infrastructure deficits were pervasive, with rankings of 69th in basic infrastructure, 68th in technological infrastructure, 63rd in scientific infrastructure, and 70th in both Health and environment and education.
Business executives surveyed by IMD identified borrowing costs (67.6 percent) and exchange rate volatility (67.3 percent) as the foremost concerns, followed by inflation (61.2 percent), global uncertainty (48 percent), supply chain disruptions (33 percent), and labour constraints (32 percent). Data from Nigeria’s National Productivity Centre cited insecurity, insurgency, and banditry — particularly in the agricultural belt — as major constraints. Unreliable electricity supply and transport bottlenecks were highlighted as infrastructure deficits raising the cost of doing business, while macroeconomic instability, high inflation, weak public institutions, corruption, and low human capital development continue to weigh on the country’s competitiveness trajectory.
The mixed results reflect an economy showing resilience in domestic economic activity while grappling with structural weaknesses that undermine broader competitiveness. As the federal government pursues reforms across critical sectors, the IMD findings offer a granular benchmark for measuring progress against persistent challenges.
