What the report says: “The Nigerian economy is expected to slow in 2023, falling to 3.2% (from 3.3%) and persisting at this level the following year. Growth will be mainly supported by the rebound in private consumption, mainly driven by accommodative monetary policy as inflationary pressures ease.
“Private consumer spending is expected to decrease this year and increase next year. This performance is expected to continue into 2024. On the production side, growth in 2023 will be supported by industry (with 5.1% growth) with the mega-refinery project,” says the report.
Reason for refusal: He blamed the development on inflationary pressures, global economic realities, the continuing war in Ukraine and the downward slope of China’s demand for commodities produced in Africa, are chains that bind today the Nigerian economy.
The Managing Director and Managing Director of BIC Consultancy Services, Dr. Boniface Chizea told reporters that the projection should come as no surprise as it reflects Nigeria’s economic realities.
What should Nigerians do with this information: He added that Nigerians should prepare for hard times as this figure will invariably affect the country’s misery index.
He noted that development will invariably underpin the achievement of equivalent levels of development within the economy, thus inevitably worsening the poverty index in Nigeria.
According to him, “The fact that the World Bank has lowered its projection for Nigeria’s economic growth to 3.3% should not surprise us. This resonates with the reality of the Nigerian economy that we can all feel and should know.
“But what immediately comes to mind as we enter this discussion is that for some time now the focus in Nigeria has been more on the rate of inflation and whether or not the country is going to sink. in recession or not. I think we should also spare a few thoughts to show some concern about how the economy is doing in terms of projected growth rates,” he stated.
Other World Bank projections: The World Bank has also forecast that the Sub-Saharan Africa region will register weaker economic growth of 3.3% in 2022, compared to 4.1% recorded in 2021.
What you should know: The forecast was featured in the October edition of the World Bank’s Africa’s Pulse, a biannual analysis of near-term regional macroeconomic prospects and economic growth in sub-Saharan Africa (SSA).