- The World Bank has said that Nigerian economy did not progress at all between the years 1995 to 2018
- The country was grouped with 18 other nations whose economies are at rock bottom in terms of performance
- The bank said high exchange rates, restrictions on foreign exchange, and infrastructure underdevelopment are some of the things harming Nigeria's economy
A new report by the World Bank group has put Nigeria among nations whose economies did not progress between 1995 to 2018.
This was revealed in a report titled Africa’s Pulse released on Monday, April 8, which is an analysis of issues concerning Africa’s future, Daily Trust reports.
According to the report, Nigeria was among the 19 countries which were at the bottom in terms of economic performance.
The other 18 countries are Angola, Burundi, Botswana, the Republic of Congo, the Comoros, Gabon, Equatorial Guinea, Liberia, Lesotho, Mauritania, Malawi, Namibia, Sierra Leone, Eswatini, Chad, South Africa, Zambia, and Zimbabwe.
A part of the report read: “These countries did not show any progress in their economic performance from 1995-008 to 2015-18. For instance, their median economic growth rate decelerated, from 5.4 percent per year in 1995-2008 to 1.2% per year in 2015-2018.
“The population in this group accounts for 33 percent of the region’s total population (similar to the top and middle terciles) and produces almost 60 percent of the region’s total GDP (which is much greater than the top and middle terciles).
“This group includes the three largest countries in the region - Nigeria, South Africa, and Angola - and comprises many commodity exporters. The bottom tercile’s average GDP per capita is about US$2,696."
The World Bank said that its report’s yardstick for measuring economic performance is based on the average annual Gross Domestic Product (GDP) growth rates during the years.
The bank also added that the reason for the stagnation is connected with the fact that household consumption has been on the low because of high exchange rates, restrictions on foreign exchange and infrastructure constraints that have affected private investment.
The World Bank, however, added that there may be a slight change as growth may rise to 2.2% in 2020 and a bit high in 2021 at 2.4%.
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Meanwhile, Legit.ng previously reported that Nigeria dropped a spot on the World Bank’s latest Ease of Doing Business ranking.
The development was made public on Wednesday, October 31, 2018, in the global bank’s report, themed: ‘Doing Business 2019’.
Legit.ng notes that while Nigeria moved 24 places from its 2016 spot of 169 to 145 in 2017, it dropped to number 146 in the 2018 edition.
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Minister of industry says economy is improving; Nigerians disagree | Legit TV