Macroeconomic Report & Economic Updates
April 5, 2016
Nigeria Economic Update (Issue 14)
The
considerable increase in inflation continued to be driven by
exchange-rate-pass-through from imported items as well as the lingering
scarcity in the availability of Premium Motor Spirit (PMS). One of the key ways
to reduce inflationary pressures in the near term is to improve the supply of
PMS to filling stations. In the medium to long term, the Nigerian National
Petroleum Corporation (NNPC) may need to revitalize local refining and bridge
the gap between the supply and demand for PMS by households and businesses.
Related
Nigeria Economic Update (Issue 49)
Nigerias
Petroleum Products Imports statistics show a gradual reduction in the volume
and value of petroleum imports (PMS, AGO, HHK) between May and September 2016. Specifically,
volume of imports declined by 34.1 percent for PMS, 37.6 percent for AGO, and
60.3 percent for HHK in the period.The significant decline in
imports in the reporting periods may be as a result of persistent forex
scarcity issues faced by importers. On account of stagnation in
domestic production of refined petroleum products, continuous
decline in oil imports may create a demand gap with upward pressure on gasoline
prices in the economy.
A Review Of Nigerias 2016 Budget
This study
reviews and assesses the 2016
budget of the Federal Republic of Nigeria in line with IMFsbudget assessment indicators, namely: comprehensiveness, transparency, and
realism. The assessment is based on
clear understanding of the present
administrations objectives, which are: to achieve socio-economic
and infrastructural development, to diversify the Nigerian economy, and to
achieve improved security of lives and properties.