Home News & Politics COVID -19 PUSHES NIGERIA INTO THE WORST RECESSION – IMF

COVID -19 PUSHES NIGERIA INTO THE WORST RECESSION – IMF

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The on – going coronavirus (covid – 19) pandemic ravaging the economies of the world will push Nigeria – the giant of Africa to suffer the worst recession in over 30 years.
Gita Gopinath, the chief economist and director of the research department of the International Monetary Fund (IMF), revealed this in the April 2020 World Economic Outlook report released in Washington r during the Spring Meetings held recently.
She said that the recession Nigeria would experience would be the worst since the Great Depression that occurred between 1929 and 1932 when advanced economies shrunk by 16%.
The world financial body projected that Nigeria’s economy would recede by 3.4% this year due to the ravaging covid – 19 pandemic that has disrupted the entire world supply chains.
“For the first time since the Great Depression both the advanced economies and emerging and developing economies are in a recession,” Gopinath explained.
“For 2020, growth in advanced economies is projected at -6%. Emerging markets and developing economies which typically have normal growth levels as well above advanced economies are also projected to have negative growth of -1% and – 2.2% if you exclude China.
This would be the worst recession in 30 years, and the second recession in five years, following closely after a negative economic growth of 1.5% in 2016. In 1987, Nigeria’s economy receded by -10.87 and -0.6 in 1991. It is projected that the Nigerian economy would rebound by 2.4% in 2021.

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