There has been persistent instability in macroeconomic indicators, such as inflation and interest rates, which has contributed to fluctuating margins, increased debt burdens, and limited capacity for sustainable growth and development in Nigeria's
healthcare sector. This study examines the impact of macroeconomic determinants on the financial performance of the healthcare sector in Nigeria, using interest and inflation rates as key variables. The study employed an ex post facto research design. Data on corporate performance were extracted from the annual accounts of the sampled sectors, while data on the independent variables were obtained from the Central Bank of Nigeria’s Statistical Bulletin. A multiple regression analysis was employed to test the hypotheses. The results revealed that the interest rate has a negative, yet non-significant, effect, and the inflation rate has a positive, yet non-significant, effect on financial performance. However, the study reveals that macroeconomic indicators, such as inflation and exchange rates, significantly
affect the profitability and financial performance of the healthcare sector in Nigeria,
indicating that macroeconomic conditions have a substantial impact on the sector's
performance. The study concluded that the interest rate has adverse economic consequences for the healthcare sector in Nigeria. Based on the findings, the study recommends, among others. The healthcare sector requires strategic cost management, diversified revenue streams, and an enhanced financial hedging system. The policy implications suggest that the government should stabilize inflation by strengthening the currency and increasing the microeconomic environment to ensure sustainable economic growth and financial resilience within the healthcare sector in Nigeria.