Nigeria: Post-Financing Assessment Discussions-Press Release; and Staff Report

The new administration under President Tinubu has started its term with bold reforms in challenging circumstances. The authorities quickly implemented two major reforms: removing fuel subsidies and unifying the various official foreign exchange windows. Growth is lackluster, inflation high and accelerating, and pressures on the naira persist. With widespread poverty and rising food insecurity, social demands for government support are growing. The external environment—access to financing, food prices—remains difficult, high oil and gas prices notwithstanding.