The latest Business Expectations Survey released by the Central Bank of Nigeria (CBN) says that businesses across Nigeria have identified insecurity as their biggest operational challenge in April 2026, ahead of multiple taxation, high interest rates, and bank charges.
The report stated that “survey responses for April 2026 indicated that insecurity (74.1), high/multiple taxes (70.5), high interest rate (67.4), high bank charges (62.8), and competition (61.8) ranked as the top five business constraints, indicating that the business environment was shaped more by risk and cost pressures rather than by demand-related factors.”
The CBN added that the findings showed “the need for improved security conditions, a more supportive fiscal environment, and reduced financing costs to enhance business performance and confidence.”
According to local media reports on Tuesday, the survey, conducted from April 6 to April 10, 2026, covered 1,900 business enterprises across the industry, services, and agriculture sectors, with a response rate of 99.4 per cent.
Despite the security and cost pressures, businesses maintained a positive outlook on the economy. According to the report, the Confidence Index remained in positive territory in April 2026, although at a slower pace than in the previous month.
The report noted that all sectors expressed optimism about the macroeconomy, with the industry sector recording the highest confidence level. Respondents also projected that business activity in May, July, and October 2026 would improve.
The CBN said that the overall business outlook on the macroeconomy stood at 3.9 index points in April 2026, while projections for the next month, next three months, and next six months stood at 16.9, 27.0, and 34.6 index points, respectively.
It stated that optimism was driven largely by “improved expansionary policy measures (19 per cent), access to finance (13 per cent), and expectations of economic diversification (13 per cent).”
However, businesses expressed concerns over “ongoing energy-related challenges (35 per cent), governance concerns (33 per cent), and elevated geopolitical uncertainties (14 per cent).”
Sectoral analysis showed that the industry sector recorded the strongest confidence level in the current month at 8.8 index points, followed by agriculture at 2.7 points and services at 1.5 points.
The report also revealed regional differences in business sentiment, with firms in northern Nigeria expressing stronger optimism than those in the South. The North-East recorded the highest optimism levels across all review periods, while the South-East and South-South posted negative outlooks for the current month at -11.9 and -10.6 index points, respectively.
GIK/APA