Macroeconomic Report & Economic Updates
October 16, 2017
Nigeria Economic Update (Issue 40)
Global crude prices settled lower in the review week (September 29 to October 6, 2017). Precisely, a barrel of Brent crude sold for about $56, showing a 6.3 percent decrease. Nigerias Bonny light exchanged at $56.76 per barrel as at October 6, 2017. The draw down in price may be attributable to indications of higher output, as revealed by the addition of more production rigs by the U.S, rise in Iraqs crude exports and survey showing OPECs overall boosted supply.
Related
Nigeria Economic Update(Issue 31)
Recent data on Consumer
Price Index (CPI) indicates significant increase in general price level for the
sixth consecutive month. Headline inflation increased by 0.9 percentage points from
15.6 per cent recorded in May to 16.5 percent in June the highest
rate recorded since October 2005 (an 11-year high). The core sub-index
increased from 15.1 percent to 16.2 percent while the food sub-index stood at
15.3 percent, an increase of 0.4 percent from the preceding month of May. Higher
prices of domestic/imported food and other items, as well as increased energy
cost were major drivers of the increase. This is probably explained by the
exchange-rate pass-through, given the significant depreciation of the naira.
Real GDP Growth Rate
On average, Nigerias GDP growth rate has averaged about 5 percent; attaining an unusual trough of nearly -10 percent in 2003Q4 and a peak of nearly 20 percent in 2004Q4. However, the Nigerian economy