The International Monetary Fund (IMF) has downgraded Nigeria’s economic growth forecast for the year 2023 to 2.9 percent.
This is against its forecast for 2022 which stood at 3.3 percent.
The latest forecasts were contained in the IMF’s World Economic Outlook report, October 2023 released on the sidelines of the ongoing World Bank/IMF Annual Meetings in Marrakesh, Morocco.
According to the IMF, the drop is partly because of the demonetization, the high inflation, and the shocks to agriculture and hydrocarbon output.
The shocks hitting growth are diverse, but several external ones are coming from the higher food and fertilizer prices still from the war in Ukraine; the funding squeeze‑‑harder to get capital; and the still very high spreads, therefore, for several economies; and exchange rate pressures,” the statement also detailed.