As Nigeria transitions from a turbulence-filled reform period into a phase of relative stabilisation, fortune has favored the bold—those firms that weathered the storm of economic uncertainty, policy shifts, and market volatility.
In 2025, the playing field is ripe with opportunities for businesses willing to adapt and innovate. For companies seeking not just survival but sustainable growth, strategic positioning will be the key to success. This position was highlighted by PwC in its 2025 Budget and Economic Outlook.
Export to African and Global Markets
A devalued currency, a framework for cohesive cross-border trade, and rising public investment in infrastructure are creating a promising window of opportunity for increased exports from Nigeria. This begins with harnessing the potential of the African Continental Free Trade Area (AfCFTA) to deepen intra-African trade and extends to exploring global markets.
With the naira depreciating by approximately 70% to N1,550/$, Nigerian exports have become significantly more affordable and competitive on the international stage, an advantage Nigerian businesses can leverage.
“While a depreciated naira may increase import costs, it makes Nigerian goods more affordable and attractive globally.” This was the position of Muhammed Abdullahi, the Deputy Governor of the CBN.
He further noted, “To harness this potential, businesses should adopt export-orientated strategies by targeting sectors with strong export potential, such as agriculture, manufacturing, and creative industries.”
Some businesses are already capitalising on this advantage, as reflected in Nigeria’s trade balance data for the first nine months of 2024. During this period, the country recorded its highest-ever trade surplus within such a timeframe, exceeding N15 trillion (approximately $10 billion).
While oil exports continued to dominate, agricultural exports also reached nearly N3 trillion, signalling a notable shift. This development underscores the growing competitiveness of Nigerian agricultural products, which are now more affordable than those from many other West African nations.
Enhance value addition by processing goods
Another promising opportunity for businesses lies in value addition, particularly in the agricultural sector. The competition in the downstream petroleum market, spurred by the sale of PMS by the Dangote Refinery, highlights the potential of localised refining and processing.
A closer look at opportunity costs reveals that refining and processing products within Nigeria could now emerge as an efficient and profitable business model, especially for players in the agriculture and extractive industries. This shift could unlock new revenue streams while driving growth across these critical sectors. There is a window of opportunity for companies to limit their FX exposures through backward integration.
With Nigeria’s vibrant and youthful population, businesses must prioritise developing youth-focused products and tailoring their market strategies to engage this dynamic demographic. Nigeria’s population has never been this young, hence, capturing the attention of this segment presents a unique opportunity to drive long-term growth and brand loyalty.
Leveraging industry shifts and consolidations
These shifts are likely to reshape the business landscape, creating opportunities for consolidation and strategic partnerships across key sectors. The banking sector is set for a flurry of activity, with new merger and acquisition announcements anticipated in the coming months. Leading the charge is the highly anticipated merger between Providus Bank and Unity Bank.
Businesses offering B2B products should begin tapping into the opportunities emerging from ongoing restructurings and industry shifts, positioning themselves to meet evolving corporate demands.
Focus on megatrends and innovation
Businesses would need to start aligning with global megatrends and prioritise innovation. No matter the scale of the business, it is advisable for businesses to start leveraging advancements in AI and scalable cloud computing solutions. These tools offer immense potential for optimising operations, enhancing customer experiences, and driving sustainable growth.
It is also advisable for businesses to start investing in expanding their digital infrastructure. Depending on the scale of the business, it would be advantageous to invest in expanding broadband and 5G networks to improve connectivity. Bigger businesses may need to invest in data centres as well as renewable energy adoption.
In Nigeria, investing in alternative power sources would be instrumental to delivering optimised operations costs.
Openness to innovative financing models
Over the past two years, Nigeria’s alternative financing landscape has experienced remarkable growth. From commercial papers to corporate bonds and green bonds, there has been a significant surge in the issuance of debt securities by private firms between 2023 and 2024.
A total of approximately N2.68 trillion was raised through commercial papers and corporate bonds during this period. This trend is expected to persist into 2025, as the challenges posed by elevated interest rates and the resulting high cost of capital still exists.
The private equity industry is likely to see a surge as businesses increasingly turn to alternative financing sources to fuel growth and expansion.
Tap Nigeria’s creative economy
Another key strategy for companies in 2025 is to tap into Nigeria’s thriving creative economy. By leveraging the expansion of digital platforms, businesses can capitalise on the country’s rapidly growing creative sector to develop innovative products and strengthen their brand presence.
In practical terms, companies should consider tapping into Nigeria’s creative economy by leveraging social media platforms like TikTok and YouTube. Several Nigerian banks have successfully strengthened their brand presence by engaging with the creative sector—GT Bank through Ndani TV, UBA with Red TV, and Access Bank via Accelerate.
These YouTube-based platforms have played a crucial role in helping these institutions build a strong and recognizable brand. As Nigeria’s creative economy continues to grow, other businesses will likely need to adopt similar strategies in 2025 to stay competitive and enhance their market visibility.
