Imf Predicts Growth For Nigeria’s Economy As External Reserves Hit $26.968bn

BEVERLY HILLS, January 16, (THEWILL) – The International Monetary Fund (IMF) has declared that Nigeria would recover from economic recession this year, projecting that the country's economy would grow by 0.8 per cent.

In its latest World Economic Outlook released on Monday , the IMF said that Nigeria's Gross Domestic Product would grow by 0.8 per cent in 2017 and 2.3 per cent in 2018 citing increased crude oil production due to security improvement as the reason for the forecast.

While the IMF retained its forecast of 3.2 per cent growth for the global economy in 2017, it, however, raised its forecast for advance countries to 1.9 per cent from 1.8 per cent but reduced its growth forecast for Emerging Market and Developing Economies and sub-Saharan economies, respectively to 4.5 per cent from 4.6 per cent, and 2.8 per cent from 2.7 per cent.

“Nigeria's forecasts were also revised up, primarily reflecting higher oil production due to security improvements,” it stated.

“Global growth for 2016 is now estimated at 3.1 per cent, in line with the October 2016 forecast.”

Meanwhile, Nigeria's external reserves have hit $26.968bn, nearing the $27bn mark.

According to the latest statistics posted on the Central Bank of Nigeria (CBN) website, the reserves rose to $26.968bn on January 13 from $26.765bn on January 11, having hit $26.658bn and $26.552bn on January and 10 and January 11, respectively.

Experts noted that the foreign exchange reserves have been rising significantly in recent weeks following the gradual increase in crude oil price and production output.