Macroeconomic Report & Economic Updates
August 21, 2017
Nigeria Economic Update (Issue 32)
Available data from the National Bureau of Statistics indicates a decline in oil and other petroleum production between 2015 and 2016. Crude oil production fell by 16 percent, from 777.5 million barrels in 2015 to 656.8 million barrels in 2016. This is also indicative of the number of exploratory rig count that fell from 15 rigs to 8 rigs in 2016. Similarly, Gas production declined by 10 percent to 2,711 million one thousand standard cubic feet (mscf) in 2016. The significant decline in crude oil and petroleum production, brings to perspective the extent of the damage caused on production pipelines by militants in the Niger Delta region in 2016. It is therefore important to invest national resources in maintaining domestic peace and security, especially in resource-rich regions of the country.
Related
Nigeria Economic Update (Issue 20)
The Naira maintained slight appreciation against the dollar in the review week. At the parallel market, the value of the Naira appreciated week-on-week by 1.6 percent to exchange at N380/$ on May 19, 2017. In addition, inter-bank market rate appreciated slightly by 15kobo to N305.45/$. The appreciation in both segments of the market are favorable effects of the CBNs continued forex supply in the week under review (In a bid to further ease forex liquidity, the CBN pumped a total of $457.3 million on May 15, 2017).
Nigeria Economic Update (Issue 1)
The
external reserve increased week-on-week by 2 percent to $26.3 billion on
January 6, 2017. The increase was likely triggered by continued
marginal rise in crude oil price, which moderated oil revenue in the review
week. The recent rise in crude oil price is likely to be maintained in the
short term given the recent oil production cut deal by OPEC members. Thus, the Nigerian
government should target short term increase in crude oil production to fully
take advantage of Nigerias exemption from oil production cut and potential
rise in oil prices.