Tinubu’s reforms responsible for strong performance of companies - Presidency

The Nigerian Exchange has witnessed a robust financial performance among listed companies in the first half of 2026, a success the presidency attributes to significant economic reforms initiated by President Bola Ahmed Tinubu's administration since mid-2023. A cornerstone of these reforms has been the unification of the foreign exchange market, establishing a single, market-determined exchange rate. This move has enhanced price discovery and allowed companies with substantial foreign currency exposure to more accurately reflect their dollar-denominated revenues in financial statements.

Export-oriented and foreign exchange-earning businesses, such as Aradel Holdings and Seplat Energy, have particularly benefited. Their revenues, largely tied to international oil prices and settled in foreign currency, now align better with market realities. The administration's commitment to bolstering investor confidence in the energy sector is further evidenced by the swift approval of major upstream transactions. These include the Renaissance Africa Energy consortium's acquisition of Shell Petroleum Development Company (SPDC) assets, with Aradel Holdings as a consortium member, and Seplat Energy's acquisition of Mobil Producing Nigeria Unlimited (MPNU) assets.

These strategic approvals have expanded the reserve base and production capacity of the involved companies, enhancing their long-term growth prospects and removing regulatory uncertainties. By facilitating the transfer of mature onshore assets to well-capitalized indigenous operators, the government has strengthened investor confidence and promoted domestic participation in the petroleum sector. This positions companies like Aradel and Seplat to achieve higher production volumes, stronger revenues, and improved earnings before tax.

President Tinubu's policy of approving Naira payments for crude oil, a strategy adopted by other African nations, has also supported local refining capacity. Dangote Refinery, for instance, has transitioned into a net exporter of Premium Motor Spirit (PMS) and aviation fuel. Manufacturing and industrial companies, including Dangote Cement, BUA Cement, and HBM (formerly Lafarge Africa), have also experienced advantages from improved foreign exchange availability and a more stable currency market. This has reduced operational bottlenecks, strengthened supply chain planning, and supported higher production volumes, contributing to revenue growth and profitability. The removal of the petrol subsidy, alongside these FX reforms, has significantly improved the government's fiscal position, leading to increased public finances.