- A new report has indicated growth in Nigeria’s economy in the last one year
- The report presented to the vice president, Yemi Osinbajo, stated that about $83.9 billion worth of investments were announced within the period
- It also indicated that inflation fell 16 consecutive months from 18.72% in January 2017 to 11.60% in May 2018
An update received from the office of the vice president of Nigeria on the state of foreign investment inflow into the economy has indicated that about $83.9 billion worth of investments were announced between January 2017 and the end of the first quarter of 2018, Q1’18.
The report titled, 2018 Making Business Work, evaluated the government’s efforts in improving the business environment in Nigeria.
According to Vanguard, the report was presented to the vice president Yemi Osinbajo by the Enabling Business Environment Secretariat in his office during the monthly meeting of the Presidential Enabling Business Environment Council (PEBEC).
A breakdown of capital investments as contained in the report showed that in 2017, over $66 billion worth of investments were announced, comprising 112 projects across 27 states and the FCT Abuja, while an additional $17.9 billion worth of investments were announced in quarter 1 of 2018, as actual capital importation stood at $6.3 billion, representing over six times the value in the first quarter of 2017, Q1’17.
The senior special assistant to the vice president on media & publicity, Laolu Akande, who unfolded the report on Wednesday, August 1, stated that measurable progress has been recorded on multiple fronts as the economy responds to key government interventions particularly in the areas of economic growth, inflation, foreign exchange & external reserves, capital market, investment, infrastructure and social investment programmes.
Akande said the report indicated that under economic growth, the rigorous implementation of the Economic Recovery and Growth Plan (ERGP) led the economy out of a recession in 2017.
He said the economy grew to 0.83%, up from -1.58% recorded in 2016, on the back of improvements in agriculture, industry and trade.
Legit.ng gathered that the report further stated that the economy has registered four consecutive quarters of steady growth.
In the first quarter of 2018, the economy grew 1.95% and is projected to grow by up to 3.0% over the year, driven by stronger oil prices, stable production, increased non-oil output and improved foreign exchange availability.
The report also indicated that for the first time in Nigeria, under the competitiveness section of the ERGP, soft infrastructure is expressly recognised as a deliberate strategy to attain economic development through the facilitation of an enabling business environment for businesses to thrive.
The report recognised the government’s efforts in improving the effectiveness of soft infrastructure such as the financial system; the education system; health care system; the system of government; law enforcement; and emergency service.
“Nigeria’s reforms have so far seen it successfully move 24 places up the World Bank Ease of Doing Business rankings. Overall, in the current reform cycle, the PEBEC focused on three pillars to accelerate and expand the impact of completed reforms. The focus will be on deepening existing reforms. Complete pending initiatives and ensure implementation of completed reforms launched in 2017, including communication and consequence management, as well as making the reforms sustainable,” the report stated.
On inflation, the report indicated that the pressure on prices is easing and inflation fell 16 consecutive months from 18.72% in January 2017 to 11.60% in May 2018.
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Legit.ng previously reported that the analysts at FSDH Research urged the federal government to tackle infrastructure problems and security challenges in Nigeria to sustain the current economic growth.
Daily Trust reports that in its monthly economic and financial market outlook report for April 2018, the analysts said that the prospect of Nigeria’s economic growth improved following an expansion in the Purchasing Managers’ Index (PMI) in March 2018 after recording two consecutive months of slowdown.
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