Connect with us

News

IMF Raises Nigeria’s 2023 Economic Growth Forecast To 2.7%

Published

on

The International Monetary Fund (IMF) has raised its forecast for Nigeria’s Gross Domestic Product (GDP), growth in 2023 to 2.7per cent.
The new forecast was contained in the IMF’s January World Economic Outlook (WEO), report released, yesterday.
The new forecast represents 0.1percentage points above the 2.6percent projected by the Fund October, last year.
The IMF also affirmed its 2.7per cent growth forecast for Nigeria this year (2022) earlier projected in the October WEO report.
However, the IMF forecasts contradict the World Bank’s forecasts of 2.5per cent and 2.8per cent Gross Domestic Product (GDP), growth for Nigeria’s economy in 2022 and 2023 respectively.
The World Bank forecasts were contained in its Global Economic Prospects report released two weeks ago.
However, the IMF in its January WEO report, downgraded its GDP growth forecast for Sub Saharan Africa to 3.7per cent and 4.0per cent for 2022 and 2023, respectively.
This represents 0.1percentage points lower than the 3.6per cent and 3.9per cent forecast made in its October 2021 WEO report.
Similarly, the IMF reduced its forecast for global economic growth to 4. per cent in 2023, representing 0.5percentage points lower than the 4.9per cent projected in the October World Economic Outlook (WEO).
Attributing the downgrade to the expected impact of restrictions to curb the Omicron variant of COVID-19, the IMF in the January WEO titled, “Rising Caseloads, a Disrupted Recovery, and Higher Inflation,” stated: “The baseline incorporates anticipated effects of mobility restrictions, border closures, and health impacts from the spread of the Omicron variant.
“These vary by country depending on the susceptibility of the population, the severity of mobility restrictions, the expected impact of infections on labour supply, and the importance of contact-intensive sectors. These impediments are expected to weigh on growth in the first quarter of 2022.
“The negative impact is expected to fade starting in the second quarter, assuming that the global surge in Omicron infections abates and the virus does not mutate into new variants that require further mobility restrictions.”
Meanwhile, the IMF has called on the Central Bank of Nigeria (CBN), and its peers in emerging and developing countries to adopt a tight monetary policy to curb rising inflation and stem outflow of foreign investment in response to the adoption of tight monetary policy in advanced countries.
The IMF said: “Less accommodative monetary policy in advanced economies will pose challenges for central banks and governments in emerging market and developing economies. Higher returns elsewhere will incentivize capital to flow overseas, putting downward pressure on emerging markets and developing economy currencies and raising inflation.
“Without commensurate tightening, this will increase the burden on foreign-currency borrowers, both public and private. But the tighter policy also brings costs at home, as domestic borrowers will find credit harder to come by. Overall, tighter policies will likely be appropriate in many emerging market and developing economies to stave off the threat of persistently higher inflation.
“Moreover, emerging markets are generally more resilient, with higher reserves and better current account balances than in the previous tightening cycle—including during the 2013 taper tantrum.
“But financial vulnerabilities remain, and many countries have higher public and private debt. Debt service burdens could therefore rise significantly with higher interest rates.
“Countries with stronger fiscal positions and clearer policy frameworks will be better placed to manage tighter global financial conditions.
“More generally, emerging market borrowers should extend debt maturities where feasible, while containing a further build-up of currency mismatches. Exchange rate flexibility can also help absorb shocks.
“But in economies with market distortions or balance sheet vulnerabilities limiting market access, the impact of capital flow reversals can imperil financial stability. In those economies, foreign exchange intervention may be needed to smooth disorderly market conditions and temporary capital flow management measures may be warranted—but should not substitute for needed macroeconomic policy adjustment.”

Continue Reading

News

Microsoft Nigeria Not Shutting Down, Presidency Replies Obi

Published

on

The Senior Special Assistant on Media and Publicity to President Bola Tinubu, Temitope Ajayi, has refuted media reports claiming the shut down of the Lagos office of Microsoft’s Africa Development Centre.
While noting that the shutdown was an “incorrect media report,” Ajayi said the organisation was “re-aligning roles” within its business, while “few roles will certainly be impacted.”
He stated this yesterday on his X handle @TheTope_Ajayi.
Tweeting, the presidential aide also faulted the tweet made late Wednesday on the same subject by the 2023 Labour Party presidential candidate, Peter Obi, labelling it a “naked dance.”
Obi had lamented the announcement on the shutdown, saying it “underscores the urgent need for comprehensive economic reforms in Nigeria.”
Obi’s tweet partly read, “The recent announcement of Microsoft Nigeria to its workers about shutting down its innovation centre in Lagos and cutting 200 jobs is deeply troubling. It underscores the urgent need for comprehensive economic reforms in Nigeria.
“This further highlights the challenges and broader issues plaguing the Nigerian economy. The closure of Microsoft’s innovation centre represents yet another significant setback for Nigeria’s aspirations to become a hub for technology and innovation in Africa.”
The former Anambra State Governor tweeted that the shutdown “raises serious concerns” about Nigeria’s “business environment for investors.”
Reacting to this, Ajayi noted, “The story that Microsoft is shutting down Nigeria office is not true. Africa Development Centre is just a department within Microsoft business in Nigeria. Contrary to incorrect media reports and Peter Obi’s naked dance, the Africa Development Centre is also not shutting down.
“Microsoft, like any other organisation, is only re-aligning roles within the business, and few roles will certainly be impacted. Affected staff, which are less than 30, will be asked to apply for new roles within Microsoft – a standard practice within the organisation.”
The presidential aide added that employees “who can’t find new roles in other departments or those who want to seek new opportunities outside the system will be asked to go. The situation at Microsoft is not anywhere near the impression of the ‘earthquake’ that Peter Obi sensationally described.”

Continue Reading

News

Dep Gov, Others Eulogise Blessing Ahiazu At 70

Published

on

Rivers State Deputy Governor Professor Mrs Ngozi Odu was among friends and well-wishers who came out to celebrate Professor Blessing Ahiazu as she turned 70.
In what would best be described as a captivating send off for a woman who spent the better part of her life in the academia, colleagues, friends, church members and a host of dignitaries converged at her residence for a warm reception.
Speaking at the event, the deputy governor of Rivers state, Prof. Ngozi Nma Odu said the celebrant is a selfless contributor to humanity, and not just the academic environment.
“Having worked closely with her over the years, while she’s celebrating 70 today, I’ll add one and half to that one, yet I call her Sister Bless. She is worthy of emulation and congratulations are in order”, she said.
Laying emphasis on the words of the Deputy Governor, the Vice chancellor of Rivers State University, Prof. Nlerum Sunday Okogbule, described Prof. Blessing as a first class academic and dogged fighter, adding that her contributions to the university development would be indelible in the sands of time.
“Being the first professor of Rivers State Library, I am proud of her virtues.
“Having worked for 44 years and served under 6 vice chancellors without query, is commendable” he said.
Eulogising her prowess, other speakers from the university Department of Library Science spoke highly of her readiness and availability to service.
Speaking about the celebration, Prof. Blessing said that the university moulded her into the dynamic woman everyone was celebrating.
She advised those in the system and those who wished to go in to be diligent in carrying out their duties.
“Those still serving should defer gratification and work first, gratification will come later. And those who seek to go in, when they go in, they should focus on the job. Greed is a killer. Quick fix is not the best attitude in life. Slow and steady, they say wins the race. And with the backing of God, they will make it”, she said.
One of the highlights of the ceremony was the lunching of her second autobiography titled “Seven Decades of Rainbow Path”
Joining a host of dignitaries and egg heads at the occasion to pay tribute and lunch the book, Professor Emeritus, and former Vice Chancellor of the then Rivers state university of Science and Technology (UniTech), Prof. Simon Achinewhu, said that the realisation that the celebrant had played her part in the Department of Library Science was soul lifting.
He prayed that she would live to see the goodness of God accomplished in her life.
Giving a review of the book, the author said, having worked in the university for over 44 years, the university environment moulded her into the woman she had become. Stating clearly, she said the book is written for her children and grandchildren
”I have sat down to write about myself. The good side and the not-so-good side of the story.
“The challenges and the exploits . So that on that last day, my children will pick it up and extract what they want and add what they will like to add and that becomes the biography of their mother.”
The author further stated that the book would encourage younger ones to learn diligence to be able to succeed in life.

John Bibor

Continue Reading

News

Methodist Church Lauds Fubara Over Peaceful Disposition

Published

on

The Methodist Church of Nigeria Diocese of Gokana, in Mogho Circuit, has commended the Rivers State Governor, Sir Siminialayi Fubara, for his peaceful disposition and creation of harmonious environment for co-existence of various ethnic groups in the State.
This was contained a communique issued at the end of their 12th synod in Mogho, and signed by Very Rev. Baridam N. C. Jason and Rt. Rev. Joseph P. Bel- Aanen, Synod secretary and Diocesan Bishop respectively.
The Synod which was attended by a large number of delegates had the theme, “ARISE AND BUILD” which was taken from the book of Nehemiah 2:18.
The church noted with pain the unbearable and excruciating suffering of people across Nigeria, mainly caused by the sudden and unplanned removal of fuel subsidy coupled with the steady decline in the value of the naira against the dollar which has triggered unprecedented rise in the cost of living generally.
“The Federal Government of Nigeria should rather focus on long-term sustainable measures in addressing the numerous challenges facing the country instead of its short-term plans of using palliatives to stop hunger and suffering in the land.
“As Church we decried the incessant callous invasion and continuous destruction of lives and properties by Boko Haram, armed bandits and Fulani herdsmen in different parts of the country.
“We equally condemn in strong terms the recent invasion of Agbeta Community in Eleme Local Government Area of Rivers State by Fulani herdsmen who not only abducted children and raped women, also destroyed farm produce worth millions of naira with their cattle, thereby causing hunger and hardship in the area,” they said.
They further used the forum to condemn in strong terms the institution of same sex marriage and transgender practices by some religious organizations in some parts of the world and called on religious and non-governmental organizations to brace up and be united in the fight against the twin sexual perversions of same sex marriage and transgender practices in Nigeria.

Tonye Orabere

Continue Reading

Trending