The IMF retained its 2.1 percent forecast of Nigeria’s GDP growth rate for 2018, while increasing the 2019 projected GDP growth rate to 2.3 percent1, from 1.9 percent projected earlier. The stated review is at the backdrop of continued increases in commodity prices in the long term, for which crude oil is the benchmark for Nigeria. Outlook on crude oil price and production is expected to maintain upward improvements in the near term. However, the Nigerian government pegs its own forecasted growth rate at 3.5 percent in 2018 – higher than figures predicted by the IMF, although premised around the same driving factors. In order to achieve a 3.5 percent GDP growth rate, a more effective implementation of the bold initiatives in this administration’s economic plan – the Economic Recovery and Growth Plan – is critical particularly in the agriculture and manufacturing sectors.
Macroeconomic Report & Economic Updates
August 14, 2018
Nigeria Economic Update (Issue 29)
The IMF retained its 2.1 percent forecast of Nigeria’s GDP growth rate for 2018, while increasing the 2019 projected GDP growth rate to 2.3 percent1, from 1.9 percent projected earlier. The stated review is at the backdrop of continued increases in commodity prices in the long term, for which crude oil is the benchmark for […]
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Nigeria Economic Update (Issue 22)
Power
sector analysis shows a decline in power generated by 15.07 percent from a peak
of 3,424 mw to 2,908 mw between May 8, 2016 and May 15, 20169. The
declining power supply is attributable to vandalism of pipelines and gas
shortages, which has a debilitating effect on power generation. As part of the
efforts by the Federal Government to improve power supply in the country, the
Bank of Industry (BoI) is currently funding intervention projects to provide
alternative source of energy (solar) in rural areas across the country10.
Since the major problem facing power generation in the country is gas
shortages, the government should make concerted efforts to combat vandalism.