This one is a hard one but we have to prepare for it, The International Monetary Fund known as IMF has done a statistical projection which indicates that Nigeria will fall into recession and it could last up to 30 years. Deep right?
According to IMF, Nigeria will see a decrease in its economy by 3% before the end of the year 2020 due to the outbreak of coronavirus which has found a way to disturb business from going on in various cities of the country and to cap it, it disturbed the global supply chain.
The last time Nigeria experienced this kind of recession was 30 years ago after the country experienced a bad economic growth of -0.6% in 1991 and -1.51% in the year 2016, so 2020 will make it the worst in 30 years with -3%.
The report which surfaced online was released on Tuesday, 14th of April, 2020 which was part of IMF’s April 2020 World Economic Outlook report. According to the IMF Chief Economist and Director of the Research Department, Gita Gopinath explained that will reflect by 2.4% in 2021 and that the recession would be the worst since the Great Depression between the year 1929 and 1932 when the advanced economies shrunk by 16%.
She said in the April 2020 Spring meetings which was held online;
“For the first time since the Great Depression, both the advanced economies and emerging and developing economies are in a recession.
For 2020, growth in advanced economies is projected at -6%. Emerging markets and developing economies that typically have normal growth levels well above advanced economies are also projected to have negative growth of -1% and -2.2% if you exclude China.”
The statement also projected that about 170 countries across the globe would experience recession and a decrease in their income per capita and to cap it, she explained that the projections made were based only on a scenario.
Source: DAILY POST