Nigeria has emerged as the highest-performing African economy in the International Institute for Management Development (IMD) World Competitiveness Ranking 2026, despite broader weaknesses in its overall competitiveness profile.
The report, which assessed 70 economies globally, placed Nigeria ahead of South Africa, Ghana, Kenya, Namibia and Botswana on the economic performance pillar, which measures domestic activity, trade, investment, employment and prices.
Nigeria scored 45.2 points, ranking 55th globally, while South Africa followed with 36.27 points at 64th position. Ghana, Kenya, Namibia and Botswana trailed behind in that order.
However, Nigeria’s overall competitiveness ranking slipped to 68th out of 70 economies, with declines recorded in government efficiency, business efficiency and infrastructure performance.
The country’s infrastructure category was ranked last globally, reflecting persistent challenges in electricity supply, transport systems and digital infrastructure.
The report also showed mixed results across sub-indices, with Nigeria performing relatively better in public finance and tax policy, but ranking poorly in institutional strength, societal framework and financial systems.
Key concerns for businesses operating in the country included high borrowing costs, exchange rate instability, inflation and insecurity, particularly in agricultural regions affected by insurgency and banditry.
The IMD noted that macroeconomic instability, weak institutions and infrastructure deficits continue to weigh heavily on Nigeria’s long-term competitiveness, despite recent economic reforms.
