₦airaland Forum

Nigerian economy continue to struggle with falling oil prices as CBN refuse to adjust its Forex restriction policy to compensate for the deficit created in the economy due to fall in global oil revenue.

The data released by National Bureau of Statistics shows the economy grew by 2.84 percent (year-on-year) in the third quarter (Q3). A 0.4 percent points higher than what was obtained in the preceding quarter, but lower by 3.38 percent from growth recorded in the corresponding quarter of 2014 when crude oil was $80.96 a barrel.

During the period under review, aggregate GDP was N24, 313,636.94 million (in nominal terms) at basic prices, but when compared with the Q3 2014 value of N22, 933,144.01 million, nominal GDP was 6.02% higher.

This was as a result of increase in oil production in Q3 at 2.17 million barrels per day (mbpd), a 0.12mbpd up from Q2 production (2.05mbpd). Oil production was also marginally higher to the corresponding quarter in 2014 by 0.02 mbpd when output was recorded at 2.15 mbpd, according to the report released by National Bureau of Statistics.

Non-oil sector grew by 3.05 percent in real terms in the Q3, 4.45 percent lower than the same quarter in 2014 and marginally lower from the Q2 of 2015. The non-oil sector contributed 89.73 percent to the nation’s GDP, marginally higher from shares recorded in the Third Quarter of 2014 (89.55%), but lower from the Second Quarter of 2015 (90.20%)

Growth in the Non-oil sector was largely driven by the activities of Crop Production, Financial Services, Telecommunications, and Trade amongst others

http://investorsking.com/nigerian-economy-grew-by-2-84-percent-in-q3/

From 20% growth to 2%!
you dey happy?
Commonsense, you no get.

likila:
From 20% growth to 2%!
you dey happy?
Commonsense, you no get.

What 20%? Since you were born have you heard of 20% economic growth in a single quarter ?

It could av been a negative value. Imagine the value if by now Nigeria had taken more loans, increased taxes, removed subsidy and privatized NNPC as proposed by PDP govt of GEJ. It would av taken more money out of the masses put it in the hands of a few crooked ones who will send it abroad and thus shrink our economy. Buhari has clearly reversed all that. Imagine how the Jonathan Admin would have fared if it didn't run on average of 108 usd /barrel of oil sales as against ~ 50usd/barrel under APC & Buhari.

Standing5:
It could av been a negative value. Imagine the value if by now Nigeria had taken more loans, increased taxes, removed subsidy and privatized NNPC as proposed by PDP govt of GEJ. It would av taken more money out of the masses put it in the hands of a few crooked ones who will send it abroad and thus shrink our economy. Buhari has clearly reversed all that. Imagine how the Jonathan Admin would have fared if it didn't run on average of 108 usd /barrel of oil sales as against ~ 50usd/barrel under APC & Buhari.

But CBN needs to adjust its forex policy because Nigeria is a heavy import dependent nation and definitely need that aspect to enhance the economy and create jobs now that oil revenue is minimal. If CBN want to encourage local patronage, they need to provide enabling platform for local manufacturers/investors by first reducing interest rates on bank loans.

Our manufacturing sector is currently too poor to sustain our population size.

Truth234:
But CBN needs to adjust its forex policy because Nigeria is a heavy import dependent nation and definitely need that aspect to enhance the economy and create jobs now that oil revenue is minimal. If CBN want to encourage local patronage, they need to provide enabling platform for local manufacturers/investors by first reducing interest rates on bank loans.

Our manufacturing sector is currently too poor to sustain our population size.

The Forex restriction is hurting the ecininy economy