Entertainment, Agriculture: Nigeria’s Key Economic Drivers in 14 Months

Nigeria’s economic activity grew for the 14th straight month in January 2026, with entertainment and agriculture leading the expansion.

This is contained in the latest Purchasing Managers’ Index (PMI) report released by the Central Bank of Nigeria (CBN).

The report stated the composite PMI stood at 55.7 points in January. It remained well above the 50-point benchmark that signals expansion.

“The composite PMI for January 2026 stood at 55.7 points, signalling expansion in aggregate economic activity for the fourteenth consecutive month. The industry sector PMI at 56.0 points reflects an expansionary trajectory in January 2026.

“Further analysis indicated that 14 of the 17 subsectors surveyed reported expansion. This demonstrates a stronger, robust and widespread expansion in industrial activity.

“The Service Sector PMI, at 54.5 points in January 2026, indicated sustained expansion for the twelfth consecutive month,” the report stated in part.

The latest CBN PMI reading indicates a solid start to the first quarter. It reflects sustained improvement in business conditions across most sectors of the economy.

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Could this be Growth?

Growth was broad-based, as 31 out of the 36 subsectors surveyed recorded expansion during the month.

The standout performer was the motion pictures, cinema, sound recording and music production subsector, which posted the strongest growth across the entire economy.

This performance highlights the increasing contribution of entertainment and creative industries to overall economic activity.

According to the CBN survey, agriculture also sustained its positive run, extending its expansion streak to 18 months.

The sector recorded a PMI of 54.2 points, driven mainly by general farming activities, and within the sector, livestock posted the strongest growth among agricultural subsectors.

The industry sector led the three major sectors with a PMI of 56.0 points, supported by improvements in production activity and labour engagement.

Within the industry category, nonmetallic mineral products recorded the strongest expansion.

Services followed with a PMI of 54.5 points, marking its 12th consecutive month of growth.

Expansion in the sector was supported by increased business activity and improved operating conditions, with entertainment-related services providing a significant boost.

The CBN report shows that the expansion was underpinned by improvements in key business indicators.

Output rose to 56.5 points. New orders stood at 54.5 points, reflecting sustained demand. Additionally, employment also remained in expansionary territory at 53.7 points.

According to the report, supply chain conditions improved notably during the month, stating that the suppliers’ delivery time index rose to 60.4 points, indicating faster delivery times and stronger supplier responsiveness.

The improvement suggests easing logistical constraints and enhancing operational efficiency.

The report also showed that price pressures moderated in January, with both input and output price indices easing, particularly in the Agriculture and Services sectors.

It also showed that output prices declined more significantly for the composite, services and agriculture indices. This offered some relief to businesses.

5 subsectors record a decline

Despite the broad expansion, five subsectors recorded contraction. Transportation equipment posted the steepest decline during the month.

Other subsectors that contracted included paper products to 34.5 points, primary metal to 42.0 points, real estate, rental and leasing to 46.0 points, and professional, scientific and technical services to 49.4 points.

The CBN described these declines as marginal. They were not significant enough to offset the wider expansion recorded across the economy.

With output, new orders and employment all remaining above the 50-point threshold, the January PMI data point to sustained growth momentum at the start of 2026. This was supported by strong performances in entertainment, agriculture and key industrial segments.

Pinnacle Daily earlier reported that the PMI report released by Stanbic IBTC Bank Nigeria showed private sector business activity in Nigeria deteriorated in January 2026.

According to Stanbic IBTC, the PMI index fell sharply to 49.7 in January, down from 53.5 in December for the first time since 2014. This ended a 13-month streak of expansion and signalled a deterioration in overall business conditions at the start of the year.