The World Bank has predicted that Nigeria’s economy will grow by 2.1 per cent for three consecutive years covering 2020, 2021 and 2023,
The predictions are contained in World Bank’s January 2020 Global Economic Prospects released on Wednesday.
The report, however, described the country’s macroeconomic framework as not “conducive to confidence.”
According to the Bretton Woods Institution, the macroeconomic framework is characterised by multiple exchange rates, foreign exchange restrictions and persistent inflation.
For sub-Saharan Africa, regional growth is expected to peak at 2.9 per cent in 2020, assuming investor confidence improves in some large economies, energy bottlenecks ease, a pickup in oil production contributes to recovery in oil exporters and robust growth continues among agricultural commodity exporters.
The forecast is weaker than previously expected reflecting softer demand from key trading partners, lower commodity prices, and adverse domestic developments in several countries.
World Bank Group Vice President for Equitable Growth, Finance and Institutions, Ceyla Pazarbasioglu, advised that with growth in emerging and developing economies likely to remain slow, policymakers should seize the opportunity to undertake structural reforms that boost broad-based growth, which is essential to poverty reduction.
”Steps to improve the business climate, the rule of law, debt management, and productivity can help achieve sustained growth,” Pazarbasioglu said.
In the West African Economic and Monetary Union, growth is expected to hold steady at 6.4 per cent.