Nigeria to go into economic recession - Fitch Ratings

Nigeria to go into economic recession - Fitch Ratings

- Nigerian may go into recession according to Fitch ratings

- According to the agency, the slump in oil prices and the pandemic shock will put pressure on Nigeria's external finances

- Fitch added that the coronavirus pandemic shock will also raise government debt

One of the top rating agency in the world, Fitch Ratings has downgraded Nigeria's credit rating to B from B+ while also assigning a negative outlook.

According to the international agency, the recent slump in oil prices and the pandemic shock will put pressure on Nigeria's external finances.

Going further, Fitch noted that the collapse in oil revenues and the slowdown in economic activity will take a toll on the "government's already weak fiscal revenues."

"The shock will also raise government debt and interest payment-to-revenue ratios from already particularly high levels and lead to a renewed economic recession," Fitch wrote in a release on Monday, April 6.

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It added that: "We expect the pandemic shock to push the Nigerian economy into recession with GDP contracting by 1% in 2020."

Meanwhile, had reported that the plan to invite a medical team from China has been vehemently rejected by the Nigeria Medical Association (NMA).

The rejection decision was disclosed by NMA president, Francis Faduyile, in a statement on Sunday, April 6.

He described the move is a misplaced priority and “a thing of embarrassment to the membership of the Association and other health workers who are giving their best in the fight against Covid-19 pandemic under deplorable working conditions.”

However, Garba Abari, director-general of the National Orientation Agency (NOA), claimed the Chinese medical team were only coming to share experiences with the Nigeria Centre for Disease Control (NCDC) and not to directly take charge of the fight against COVID-19 pandemic in the country, Premium Times reports.

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PAY ATTENTION: Download our mobile app to enjoy the latest news update had also reported that the NMA and the Medical Guild in Lagos state have accused the police of harassment.

The medical bodies blamed the commissioner of police in the state Hakeem Odumosu over his statement on the movements of health workers following restriction order.

This was disclosed in separate statements issued by the state NMA and Medical Guild, Vanguard reports.

The Medical Guild, in a statement by its chairman, Dr. Olujimi Sodipo, said: “We strongly urge the CP to retract his directive which will lead to loss of lives of members of the public unnecessarily. We also use this medium to appreciate all our members who have taken up the task of catering for COVID-19 and other patients in all our hospitals. With God’s will, Lagos and Nigeria will soon be declared free of the pandemic.”


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