Recently, the Nigeria Bureau of Statistics released its Q2 Gross Domestic Product (GDP) report which showed a growth of the Economy for the First Time in six (6) consecutive quarters. The Import of this is that Nigeria has exited its longest recession in almost three (3) decades.
According to the Report, the Nigerian Economy grew by 0.55% in Q2 2017, a marginal improvement compared to -0.91% (revised) in Q1 2017 & -1.49% in Q2 2016. This growth falls way short of the 6.54% GDP growth in the corresponding quarter of 2014, which was our last full year in office. It also falls significantly below the 3.96% growth in Q1 2015, which was our last full quarter in office.
Qtr 2
2014 Q1 – 6.54%
2015 Q2 – 3.96%
2017 Q2 – 0.55%
Conversely, it is important to note that the South African Economy grew by a more impressive 2.5% after contracting by 0.3% and 0.6% in Q4 2016 and Q1 2017, respectively.
When these figures are considered along with inflation rate of 16.05% and an annual population growth rate of approximately 2.67% per annum, it is impossible to escape the Conclusion that the Recovery of the Nigerian Economy is weak, feeble and insufficient to herald the sort of celebration and backslapping being displayed by officials of this APC led-Administration.
At this point, it is necessary to sound a note of caution! It is imperative to reiterate the Warning of the last Monetary Policy Committee (PMC) Meeting to the effect that the Nation is at risk of falling into a more protracted recession if strong and bold monetary and fiscal policies are not activated immediately to sustain our exit from recession.
This warning is very necessary in the light of the incompetence, lack of economic direction and incoherent economic policies of the Buhari Administration which led us into, and then prolonged recession in the first place. It is clear that a continuation of the Administration’s incoherent economic policies and its penchant for governance by propaganda will only lead us down a more dangerous path.
We are of the firm belief that there is nothing to celebrate until the so called economic growth improves the harsh living conditions imposed on millions of ordinary Nigerians by the Buhari Administration’s incoherent economic policies and is reflected in a reduction of the high cost of goods, services and staple foods necessary for everyday living.
