Nigeria monitors Middle East tensions to protect economic stability — FG

Abdullateef Fowewe

The Federal Government of Nigeria has said its is actively tracking escalating geopolitical tensions in the Middle East involving the United States, Israel, and Iran, vowing to shield the nation’s economy from potential fallout.

In a statement signed Wednesday by Uloma Amadi, Assistant Director of Information and Public Relations at the Federal Ministry of Finance, the government outlined its response.

The Economic Management Team (EMT), led by Finance Minister and Coordinating Minister of the Economy, Wale Edun, held meetings to evaluate impacts, including a Naira-for-Crude policy session on energy markets.

“The Federal Government of Nigeria is closely monitoring escalating geopolitical tensions in the Middle East and remains committed to safeguarding Nigeria’s economic stability,” the statement reads.

Officials highlighted three key risks: volatility in crude oil and gas prices driving up domestic costs for fuel, diesel, cooking gas, and fertilizer; shifts in capital flows toward safe-haven assets that could hit emerging markets like Nigeria; and higher global logistics costs from disrupted shipping routes, such as the Strait of Hormuz.

The EMT is tracking macroeconomic indicators like oil prices, exchange rates, capital flows, fiscal outlook, and reserves amid these fluid global uncertainties.

Nigeria approaches the crisis from a strong base, the statement noted.

“Real GDP grew by 4.07 percent in Q4 2025 — one of the strongest quarterly performances in over a decade,” it added.

The government stressed coordinated fiscal, monetary, and energy policies, with options under review.

“The Federal Government assures the public that it remains vigilant and proactive, and will take all necessary steps to preserve Nigeria’s economic stability and sustain its growth trajectory,” it concluded.