The National Bureau of Statistics (NBS) on
Monday says Nigeria’s economic growth slowed in the first quarter of 2018 for the
first time since the country pulled out of recession last year as the
non-oil sector struggled.
The economy grew by 1.95 percent in the first quarter
lifted by the oil sector. That was a slight dip from 2.11 percent
year-on-year in the final quarter of 2017. The economy shrank 0.91
percent in the first quarter of 2017, the bureau said.
lifted by the oil sector. That was a slight dip from 2.11 percent
year-on-year in the final quarter of 2017. The economy shrank 0.91
percent in the first quarter of 2017, the bureau said.
Growth
rates had been bouncing back since the third quarter of 2016, when the
recession, its first in 25 years, bottomed out. Nigeria exited that
contraction last year largely due to higher oil prices, with the country
relying on crude sales for around two-thirds of government revenue.
rates had been bouncing back since the third quarter of 2016, when the
recession, its first in 25 years, bottomed out. Nigeria exited that
contraction last year largely due to higher oil prices, with the country
relying on crude sales for around two-thirds of government revenue.
Last
week parliament passed a record 9.12 trillion naira ($29.8 billion)
budget for 2018 aimed at boosting growth in west Africa’s biggest
economy nine months before the country’s next presidential election.
week parliament passed a record 9.12 trillion naira ($29.8 billion)
budget for 2018 aimed at boosting growth in west Africa’s biggest
economy nine months before the country’s next presidential election.
President
Muhammadu Buhari has been trying to diversify the economy away from oil
by boosting the non-oil sector but those efforts are struggling.
Muhammadu Buhari has been trying to diversify the economy away from oil
by boosting the non-oil sector but those efforts are struggling.
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The
oil sector grew 14.77 percent in the period, higher than the non-oil
sector which rose 0.76 percent between January to March, the NBS said.
Oil production stood at 2 million barrels per day in the quarter, up
from 1.95 million in the previous quarter.
oil sector grew 14.77 percent in the period, higher than the non-oil
sector which rose 0.76 percent between January to March, the NBS said.
Oil production stood at 2 million barrels per day in the quarter, up
from 1.95 million in the previous quarter.
The
GDP data comes a day before the central bank announces its decision on
interest rates, with recent economic data showing that there’s scope for
a rate cut as inflation dropped to a more than two year low in April of
12.48 percent.
GDP data comes a day before the central bank announces its decision on
interest rates, with recent economic data showing that there’s scope for
a rate cut as inflation dropped to a more than two year low in April of
12.48 percent.
The bank has kept its rate at 14 percent since July 2016 to support the naira and curb inflation.
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