Nigeria’s economic growth will fall to 3%, says IMF

The International Monetary Fund has predicted that Nigeria’s economic growth will fall from 3.2 per cent in 2023 to 3.0 per cent in 2024.

This is as it retained Nigeria’s 3.2 per cent economic growth projection for 2023 in its recent world economic outlook update.

In its ‘World Economic Outlook: A Rocky Recovery (2023 Apr),’ report released on Tuesday, the IMF improved the country’s 2024 economic growth projection to 3.0 per cent from the 2.9 per cent it stated in its January update.

It stated in a table that Nigeria’s economy grew by 3.3 per cent in 2022. According to the Washington-based lender, global economic growth is expected to fall from 3.4 per cent in 2022 to 2,8 per cent in 2023.

It said, “The baseline forecast is for growth to fall from 3.4 per cent in 2022 to 2.8 per cent in 2023, before settling at 3.0 percent in 2024.

“Advanced economies are expected to see an especially pronounced growth slowdown, from 2.7 per cent in 2022 to 1.3 per cent in 2023. In a plausible alternative scenario with further financial sector stress, global growth declines to about 2.5 per cent in 2023 with advanced economy growth falling below 1 per cent.

“Global headline inflation in the baseline is set to fall from 8.7 per cent in 2022 to 7.0 per cent in 2023 on the back of lower commodity prices but underlying (core) inflation is likely to decline more slowly. Inflation’s return to target is unlikely before 2025 in most cases

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