A Fitch Solutions Country Risk & Industry Research report has predicted, The Nigerian economy will continue to slump in 2023 due to activities leading to the general elections in 2023, but would likely pick in 2024, with growth rising to 3.3 per cent.
An affiliate of Fitch Ratings, the Fitch Solutions report estimated that economic growth in Nigeria slipped to a six-quarter low of 2.3 per cent in quarter four of 2022, predicting that the country’s economic growth would ease further in 2023.
“We expect that the country’s economy will expand by just 2.5 per cent due to disruptions associated with the February 2023 election and the continued decline of oil production. Growth will accelerate to 3.3 per cent in 2024 as oil output picks up,” it projected.
“Economic growth in Nigeria slipped to a six-quarter low in Q3, 2022, and we expect that it will continue to slow over the coming two quarters,” it added.
The Fitch report recalled the latest figures from the National Bureau of Statistics (NBS) which it said showed that economic growth slowed from 3.4 per cent y-o-y in Q2, 2022 to 2.3 per cent y-o-y in Q3, 2022.
“The slowdown was mostly due to a poor performance in the oil sector, where the decline in output worsened from a fall of 11.1 per cent y-o-y in Q2, 2022 to a decrease of 22.3 per cent y-o-y in Q3, 2022,” the report added.
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