The Stanbic IBTC Bank Nigeria PMI edged down to 51.9 in March 2026 from 53.2 in February, remaining above the 50-point threshold and therefore indicating continued, albeit slower, expansion in private sector activity. Output growth softened as higher fuel costs constrained production, even as new orders rose sharply, underpinned by resilient underlying demand and the introduction of new products.
Performance across sectors was mixed: activity increased in agriculture and wholesale & retail, but contracted in manufacturing and services. Employment rose for the tenth consecutive month, though at a more moderate pace, while firms stepped up their purchasing activity, resulting in only a modest build-up of inventories.
Inflationary pressures strengthened, with input costs rising at the fastest rate in 15 months and selling prices increasing to their highest levels since December 2024. Business sentiment remained in positive territory but slipped to a four-month low, reflecting cautious optimism as firms planned investment and promotional campaigns to support future output.
