Yemisi Izuora
Strong financial performance recorded by several companies listed on the Nigerian Exchange (NGX) in the first half of 2026, has been attributed to the economic reforms introduced by President Bola Tinubu’s administration since assuming office in 2023.
The Special Adviser to the President on Information and Strategy, Bayo Onanuga, claims that the reforms had created a more stable and predictable business environment, boosting investor confidence and corporate profitability.
He said, “The strong financial performance recorded by many of the companies listed on the Nigerian Exchange in the first half of 2026 is attributable to several key economic reforms implemented by President Bola Ahmed Tinubu’s Administration since mid-2023.”
Onanuga said one of the most significant reforms was the unification of the foreign exchange market.
“By establishing a single, market-determined exchange rate, the reform improved price discovery and enabled companies with substantial foreign currency exposure to more accurately reflect the value of their dollar-denominated revenues in their financial statements.”
He said the policy particularly benefited export-oriented and foreign exchange-earning firms such as Aradel Holdings and Seplat Energy, whose revenues are largely tied to international oil prices and earned in foreign currencies.
The presidential spokesman also said the administration’s approval of major upstream oil and gas transactions strengthened investor confidence and expanded opportunities for indigenous operators.
“Among the most notable approvals was the Renaissance Africa Energy consortium’s acquisition of Shell Petroleum Development Company (SPDC) assets, of which Aradel Holdings is a consortium member. Another was the approval of Seplat Energy’s acquisition of the assets of Mobil Producing Nigeria Unlimited (MPNU).”
According to him, “These strategic approvals significantly expanded the reserve base, production capacity, and long-term growth prospects of both companies while removing regulatory uncertainty surrounding two of the largest transactions in Nigeria’s upstream oil and gas industry.”
Onanuga added that the policy approving the sale of crude oil in naira had also strengthened domestic refining.
“President Tinubu’s approval of Naira payment for crude, a policy that some other African countries have adopted, has also supported local refining capacity, such that Dangote Refinery has become a net exporter of PMS and aviation fuel.”
He said manufacturing and industrial firms also benefited from improved access to foreign exchange under the unified exchange rate framework.
“Firms such as Dangote Cement, BUA Cement and HBM have been able to plan production, procure imported inputs more efficiently and allocate capital with greater certainty under a unified exchange rate framework. Improved foreign exchange availability has reduced operational bottlenecks, strengthened supply chain planning and supported higher production volumes, contributing to stronger revenue growth and improved profitability.”
Onanuga further stated that the removal of the petrol subsidy had strengthened the government’s fiscal position and enhanced the operating environment for businesses.
“The resulting improvement in public finances has increased fiscal capacity for infrastructure investment, enhanced revenue mobilisation and reinforced broader macroeconomic stability. These developments have created a more supportive operating environment for large-scale businesses by improving investor confidence and strengthening expectations of long-term economic sustainability.”
He also cited tighter monetary management, banking sector recapitalisation and ongoing tax reforms as key contributors to macroeconomic stability.
According to him, “Taken together, these reforms have enhanced the operating environment for capital-intensive and export-oriented firms by improving market efficiency, strengthening macroeconomic stability, increasing investor confidence and facilitating more efficient capital allocation.”
Onanuga said the improvements in operational efficiency, financial transparency and investment planning provided a clear explanation for the significant increases in revenue and profit before tax reported by many listed companies.
He added, “Rather than reflecting isolated firm-level developments, these results illustrate how comprehensive structural reforms can translate into measurable improvements in corporate financial performance through stronger market fundamentals and a more predictable business environment.”
The Presidency’s statement accompanied data showing that the combined revenue of Nigeria’s 10 largest listed companies rose by 36 per cent to N14.40 trillion in the first half of 2026 from N10.59 trillion in the corresponding period of 2025, while their combined profit before tax increased by 66.7 per cent to N4.99 trillion from N2.99 trillion. The figures also showed that the naira closed the first half of 2026 at about N1,380 to the US dollar, compared with N1,530 during the same period in 2025.