By Jemimah Wellington, JKNewsMedia Reporter
ECONOMIC RECOVERY in Nigeria demands an urgent acceleration of growth, with the government aiming to double the current rate to 7% within two years to alleviate poverty.
Nigeria’s Finance Minister Wale Edun stressed this during the World Economic Forum (WEF) in Davos, Switzerland, on Thursday.
He said the country recorded a 3.5% annualised growth rate in the third quarter of 2023, buoyed by sweeping reforms initiated by President Bola Tinubu.
These include eliminating the costly petrol subsidy and liberalising the foreign exchange market, Edun stated.
However, these measures have also led to soaring inflation, which hit 34.80% in December, exacerbating a cost-of-living crisis for millions.
Edun urged global investors to seize opportunities in consumer goods, food and beverages, financial services, and infrastructure, noting that increased private sector investment is critical for sustained economic recovery.
“It’s a steady trickle now. What we want is a stream, and eventually, a flood of investment,” he said.
The reforms aim to diversify Nigeria’s oil-dependent economy, tackle double-digit inflation, and reduce its debt burden.
Tinubu has committed to unifying exchange rates and expanding the economy by at least 6% annually, while addressing insecurity that threatens growth.
Central Bank of Nigeria (CBN) Governor Olayemi Cardoso also noted optimism, forecasting a 4.17% economic expansion in 2024, driven by stabilising inflation and ongoing reforms.
Cardoso stated that these efforts align with the government’s long-term vision of sustainable growth and poverty reduction.
The economists said that though the reforms bring short-term pain, they are viewed as necessary to unlock Nigeria’s economic potential and improve living standards for over 200 million citizens.