Lagos – Financial experts have advised the new administration to solve concerns that may limit positive and rapid economic growth in 2023.
The experts stated this in separate interviews with the News Agency of Nigeria (NAN) on Sunday in Lagos.
They talked against the background of the International Monetary Fund’s (IMF) economic forecasts for Nigeria.
The IMF predicted that Nigeria’s economy will contract by 0.2% from 3.2% in 2023 to 3.0% in 2024.
Prof. Ndubisi Nwokoma, Director of the University of Lagos’ Centre for Economic Policy Analysis and Research (CEPAR), stated that Nigeria’s economic prospects for 2023 may be bleak.
Nwokoma stated that the country’s economic growth will be hampered by the recurrent budgetary sustainability crisis and the uncertainty produced by the disputed outcome of the 2023 General Elections.
“GDP growth may be hindered further by the persistent infrastructure deficit supporting output across industries.”
“As a result, topics of challenge in 2023, such as fuel subsidy resolution, public debt overhang, poor investment inflows, and diminishing capital imports, should be tackled front on by the future administration,” Nwokoma added.
Prof. Akpan Ekpo, Chairman of the Foundation for Economic Research and Training in Lagos, also thought that the estimate was feasible owing to local and global megatrends.
“The impact of the naira design policy and its negative consequences, including insecurity, growing inflation, and rising unemployment, among other things, would hinder economic progress.”
“The Ukraine-Russian conflict, slow development in wealthy nations, global recession, global supply chain concerns, and other factors would have an impact on the Nigerian economy, although as a customer.”
“I do not envy the next administration because of the slew of structural issues.”
“The incoming government must handle the epileptic electricity supply.” “We are a generator-driven economy,” he explained.
Ekpo also stated that the new administration must combat poverty forcefully through well-planned programs.
He also asked the new administration to guarantee that citizens have access to high-quality education and healthcare.
According to him, around 80% of Nigerians lack the fundamental needs for a normal existence.
He emphasized the need of addressing all barriers to a vibrant and diverse economy.
Sheriffdeen Tella, Professor of Economics at Olabisi Onabanjo University, Ago-Ago-Iwoye, Ogun, who agreed with the forecast, stated that things will improve with a peaceful transfer in administration.
“The IMF prediction is based on the current level of economic activity, inadequate economic management, notably monetary and debt trap management, political instability, and pervasive insecurity,” Tella explained.
He did, however, say that the statistic will be changed internationally if economic management improved via purposeful policy adjustments.
