DUE to the current negative growth of -6.10 percent recorded by Nigeria in its Gross Domestic Product (GDP), economic experts have urged Nigerians to brace up for hard times.

They argued that it may be difficult for avert the looming economic recession because Nigeria’s main revenue base, the crude oil is badly affected by the COVID-19 pandemic.

On Monday, August 24, the National Bureau of Statistics (NBS) in its GDP report for the second quarter of 2020 revealed that Nigeria’s GDP had contracted by -6.10 percent.

The decline was largely due to significantly lower levels of both domestic and international economic activities during the quarter, which resulted from a nationwide shutdown aimed at containing the COVID-19 pandemic.

Seyi Kolawole, a Research Analyst at the NASD Plc says Nigerians should prepare for the hard times. In a phone conversation with The ICIR, Kolawole said it would be very impossible for Nigeria not to plunge into recession in the next quarter when the next report will be released by the NBS.

He also said the effect might be more serious because of the COVID-19 pandemic.

“We are not strangers to a recession, because it is going to be a repeat of what has happened when we dipped into recession the last time, just that it might be a bit more serious because of the coronavirus,” Kolawole said.

When asked about what the government can do to avert a recession from happening, Kolawole said: “it may be a bit difficult to avoid that from happening this time, considering that Nigeria is an oil-dependent country.”

“We could have argued it if Nigeria’s economy was a diversified one, however, with the shutdown of economic activities across international borders due to COVID-19, it will be more difficult to avert.”


Kolawole however advised the government to start planning for recovery out of the recession. “It is imminent that recession will happen, my advice for the government is to plan for after the recession and how we are going to come out of it.”

READ MORE: https://www.icirnigeria.org/experts-say-nigerians-should-brace-up-for-hard-times-over-looming-recession/

God airpos o