By By Elizabeth Ugbo
President Bola Ahmed Tinubu’s economic reforms have significantly boosted the financial performance of many companies listed on the Nigerian Exchange (NGX) in the first half of 2026. The reforms, introduced across Nigeria since mid-2023, focused on foreign exchange liberalisation, energy sector reforms, fiscal discipline and financial stability. They have improved investor confidence, enhanced business operations and strengthened corporate earnings across key sectors.
Foreign Exchange Reforms Improve Corporate Performance
One of the administration’s most impactful reforms was the unification of the foreign exchange market. The policy introduced a single, market-driven exchange rate that improved transparency and price discovery.
As a result, companies with significant foreign currency exposure now report their earnings more accurately. Export-oriented firms, including Aradel Holdings and Seplat Energy, have particularly benefited because they earn most of their revenues in foreign currencies linked to global oil prices.
The improved exchange rate framework has also reduced uncertainty for investors and strengthened financial reporting across the corporate sector.
Energy Sector Reforms Boost Indigenous Oil Companies
The Tinubu administration also strengthened investor confidence through timely approvals of major upstream oil and gas transactions.
Notably, the government approved the Renaissance Africa Energy consortium’s acquisition of Shell Petroleum Development Company (SPDC) assets. Aradel Holdings belongs to the consortium.
Similarly, the administration approved Seplat Energy’s acquisition of Mobil Producing Nigeria Unlimited (MPNU) assets.
These landmark transactions expanded the reserve base and production capacity of both companies. They also eliminated regulatory uncertainty surrounding two of Nigeria’s biggest upstream oil deals.
Furthermore, the approvals accelerated indigenous participation in the petroleum industry. Consequently, both companies now enjoy stronger growth prospects, increased production volumes and higher revenue potential.
Naira-for-Crude Policy Supports Local Refining
President Tinubu’s approval of crude oil sales in naira has strengthened Nigeria’s local refining industry.
The policy has improved crude supply to domestic refiners and reduced dependence on foreign exchange for crude purchases.
Consequently, Dangote Refinery has emerged as a net exporter of Premium Motor Spirit (PMS) and aviation fuel, supporting Nigeria’s energy security and foreign exchange earnings.
Manufacturers Benefit from Stable Exchange Rate
Manufacturing and industrial companies have also recorded stronger financial results under the new economic environment.
Companies such as Dangote Cement, BUA Cement and HBM, formerly Lafarge Africa, now enjoy improved access to foreign exchange.
The stable currency market enables them to procure imported raw materials more efficiently. In addition, they can plan production schedules and allocate investment capital with greater certainty.
These improvements have strengthened supply chains, increased production volumes and enhanced profitability.
Petrol Subsidy Removal Strengthens Fiscal Position
The removal of the petrol subsidy has improved Nigeria’s fiscal outlook.
Higher government revenues have created more room for infrastructure investment and strengthened public finances.
Additionally, improved fiscal discipline has boosted investor confidence and reinforced expectations of long-term economic stability.
Large businesses now operate in a more predictable economic environment that supports expansion and long-term planning.
Financial Sector Reforms Enhance Business Confidence
The administration has also implemented tighter monetary policies and financial sector reforms.
These measures have improved exchange rate stability, moderated inflationary pressures and strengthened liquidity conditions.
As a result, businesses now make long-term investment decisions with greater confidence.
Banking sector recapitalisation has increased the industry’s capacity to finance major corporate projects.
Meanwhile, ongoing tax reforms continue to simplify tax administration, broaden the revenue base and reduce structural inefficiencies across the economy.
Structural Reforms Translate into Higher Earnings
The combination of foreign exchange reforms, energy sector policies, fiscal discipline and financial sector improvements has created a more competitive business environment.
These reforms have enhanced operational efficiency, strengthened investor confidence and improved capital allocation across key industries.
Consequently, many companies listed on the Nigerian Exchange have reported significant increases in revenue and earnings before tax during the first half of 2026.
Rather than reflecting isolated corporate successes, these strong financial results demonstrate how comprehensive economic reforms can improve business performance through stronger market fundamentals, greater policy certainty and a more stable investment climate.
