Nigeria’s Economic Growth May Decline In 2024 – UN

Nigeria may see a decline in economic development in 2024 as a result of its mounting debt, growing inflation rate, and effects on citizen welfare, according to the United Nations.

Naija News reports that the United Nations made this projection in its World Economic Situation and Prospects report for 2024 released on Monday.

Additionally, the UN projected that Nigeria’s growth rate would accelerate from 2.9% in 2023 to 3.1% in 2024.

The United Nations Conference on Trade and Development, the five United Nations Regional Commissions, and the Department of Economic and Social Affairs of the United Nations collaborated to develop the WESP report.

The analysis states that with a 3.1% GDP growth prediction for 2024, Nigeria’s economic prospects have moderately improved due to policy measures implemented in 2023, particularly in the oil industry.

The report said, “Policy reforms enacted by the government of Nigeria in 2023, especially in the hydrocarbon sector, have contributed to a moderate improvement in the country’s growth prospects for 2024, with GDP growth forecast at 3.1 per cent.

However, ballooning public debt, persistent inflation and a rising cost of living, together with a weak business environment, will pose a downward risk to growth prospects.”

The report also mentioned the likelihood of lower national petrol prices in 2024 if local efforts were made to increase oil refining capacity.

Global trade remained low in 2023, according to the UN report, with Africa accounting for a portion of the trend and experiencing almost no year-over-year growth in the volume of merchandise trade in the continent.