January 19, 2022

Economic Recession: Nigeria Will Recover, Says CBN


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Mr. Godwin Emefiele, CBN Governor

Despite the economic woes currently plaguing the nation, the governor of the Central Bank of Nigeria (CBN), Mr. Godwin Emefiele has expressed optimism that Africa’s largest economy will recover soon.

Speaking during a closed-door meeting with the Nigerian Senate in Abuja on Tuesday, Emefiele said it was unusual for the country to be experiencing economic stagnation and inflation at the same time.

His appearance was in line with Section 8 of the Central Bank of Nigeria Act 2007, which requires that the governor of the apex bank provides, to the National Assembly, periodic updates on the activities of the bank as well as the performance of the economy

The CBN governor further stated that that indices that would have made the economy grow were not in place at the moment, citing the renewed bombing of pipelines by Niger Delta Avengers as one of the factors pulling down the economy.

He also said the 70 per cent decline in oil prices from about S116 per barrel in June 2014 to about $30 per barrel earlier in the year was another factor hampering the economy.

Prior to this revelation, analysts have expressed concern that the economy was gloomy, stagnant and worsening by the day, with almost all activities crippled.

Earlier this week, data released by the National Bureau of Statistics indicated that the nation’s inflation index hit an 11-year-high at 16.5 percent.

Briefing journalists after the closed-door meeting, the Vice Chairman of the Senate Committee on Media and Public Affairs, Senator Ben Murray-Bruce, assured Nigerians that the country’s economy would get better.

In a statement, also on Tuesday, the Senate further commended the Central Bank of Nigeria for its effort in job creation, and economic growth and development in Nigeria.

“Part of the statement reads: “The Senate acknowledge that these are indeed difficult times all over the world and not only Nigerians.

“The Senate would like to commend and support CBN policies because they are geared towards increasing local production, creating jobs, safeguarding our Commonwealth and expanding opportunities and growth in Nigeria”, the statement said.

The Minister of Finance, Kemi Adeosun, is expected to brief the senate today (Wednesday) on the state of the country’s economy and budget implementation.



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