The International Monetary Fund on Tuesday cut its growth forecast for the Nigerian economy this year, citing the continuous fall in oil revenues and weakened investor confidence.

The organization revised down its April forecast of 2.3 percent growth rate for 2016, saying it expects Africa’s largest economy to contract by 1.8 percent this year.

According to the IMF, Nigeria’s lackluster, and South Africa’s sluggish economic activity is expected to weigh on economic growth across sub-Saharan Africa.

“In 2016, regional output growth will fall short of population growth, implying declining per capita incomes,” it said.

Also, the dramatic turn of events in Nigeria has impeded growth as much as the plunge in oil prices, the main source of foreign revenue.

For instance, the activities of the militants in the southern oil region have forced production cutbacks by about 600,000 barrels per day, amid other internal unrest across the country, like the Boko Haram activities in the North.

Inflation rose to 11-year high in June as the cost of living jumped to 16.5 percent year-on-year after the central bank abandon its fix foreign exchange rate for a more flexible policy, allowing it to be battered by the scarce US dollar.

But with the central bank unable to effectively prop up the Naira value using its intermittent sales of forex at the interbank market, it is unclear how Africa’s largest economy intends to manage its surging inflation in the second half of the year.

The IMF, also cut its global growth forecast by 0.1 percent to 3.1 percent in 2016, while the U.K. growth forecast was lowered by 0.9 percent to 1.3 percent.

"With Brexit still very much unfolding, the extent of economic and political uncertainty has risen, and the likelihood of outcomes more negative than the one in the baseline has increased," the IMF said.

http://investorsking.com/nigerian-economy-to-contract-by-1-8-in-2016-imf/

And he claim to be popular! But he didn't tell us is as a worst president economical and otherwise.

I will wait for the usual e-robots to populate this thread with hatred and sluggish speeches that hold them on the ground like a tree.
Every kid with a smart phone now knows how to discuss the economy simply because his or her Parents still buys the bags of rice and pays the School fees. I urge them to wait a little more until they start working and know the real meaning of negative inflation due to bad governance and cluelessness.


IMF is not owned or run by Nigeria, it's a global entity that oversees every country of the world, so when they say your economy is good, then it's good based on what they see. The same way they will see bad and tell you it's bad.

What makes people wise is to look at the critisms against them, review them, Learn from them and see how to make positive changes from them.
Not to condemn it like Buhari condemned the 2014 National Conference Report out of tribalism, ego and hatred. A report that was chaired by his kinsman but because power is in his hands now, he quickly created one account and asked every Nigerian to put all the money in it, then started sacking Nigerians who worked as financial workers in those agencies while branding them Ghost workers through Kemi just to give the dog a bad name before killing it.
You expect Nigerian Football Federation to make money through adverts, send it you your TSA and turn around to beg you when it's time to go for a tournament. No wonder FIFA bans some countries regularly. Since you copied democracy from the west, why don't you bend down and study how Britain run their government and Football Association?

He suddenly gets A1 in economics and accounting.

"Too much power in one man's hand is dangerous" Lucky Dube, Is This Freedom.

Came down change is here.Zombies over to you.

The activities of the militant has worsened the situation, about 600,000 barrels can't be accounted for on a daily basis because few people feel that is the way to express their grievances.

If oil revenue continued to plummet inflation will continue to rise, since the CBN won't have Forex to intervene at the interbank market to modulate exchange rate.

The solution is very simple,re-inflate the economy and diversify it.