Nigeria’s economy is expected to expand at a moderate rate of 1.8 percent this year and edge up to 2.1 percent in 2022.
This is according to the World Bank’s June 2021 Global Economic Prospects.
In the report titled, “Global Recovery Strong but Uneven as Many Developing Countries Struggle with the Pandemic’s Lasting Effects”, the World Bank said the new projection for Nigeria is on the assumption that oil prices will continue to rise, a gradual implementation of structural reforms in the oil sector, and a market-based flexible exchange rate management.
“The expected pickup is also predicated on continued vaccinations in the second half of this year and a gradual relaxation of COVID-related restrictions that will allow activity to improve. Nonetheless, output in Nigeria is not expected to return to its 2019 level until end-2022,” the report read.
Earlier in January, the World Bank projected a 1.1 % growth rate for the country in 2021 after the COVID-19-induced sharp recession in 2020. The economy’s gross domestic product (GDP) contracted by 1.92%.
Globally, the World Bank forecasted a 5.6 percent in 2021 — fastest post-recession pace in 80 years — mainly on strong rebounds from a few major economies.
In Sub-Saharan Africa, economic activity is projected to rise by 2.8 percent in 2021 and 3.3 percent in 2022 as countries continue to struggle with the COVID-19 pandemic and its aftermath.
