The Federal Government has said Nigeria’s economy is still vulnerable to shock, despite recently coming out of recession.
Minister of Budget and National Planning, Udo Udoma, said this while addressing a meeting of the National Economic Council presided over by Vice-President Yemi Osinbajo at the Presidential Villa, Abuja, on Thursday.
What he said:
In a statement by the Senior Special Assistant to the Vice-President on Media and Publicity, Laolu Akande, the minister said;
- The rate of unemployment and underemployment was still high.
- Inflation reduced to 16.01 per cent in the second quarter from over 18 per cent in the last quarter of 2016.
- Agriculture had the highest Gross Domestic Product growth.
The statement read in part, “The minister invited the council to note that the NBS has published the GDP for the economy for Q2 2017; that the economy has now recovered from recession growing 0.55 per cent in the second quarter of 2017, with agriculture growing at 3.01 per cent in Q2 2017, industry growing for the first time in nine quarters by 1.45 per cent, while services contracted by -0.85 per cent.
“That the recovery was driven largely by growth in agriculture, manufacturing, crude oil and gas production, solid minerals, financial services and electricity supply.
“That headline inflation has trended downwards every month since January, though further developments in food prices still need to be watched closely.
“That the economy is sustaining the growth in capital imported into the country with improvement in foreign reserves and trade balance.
“That unemployment and underemployment remain a challenge for the economy.
“That despite these improvements, the economy is still deemed vulnerable to shocks and focused policy implementation is required to sustain the recovery; and the need to continue implementing the ERGP for sustainable development.”