Nigeria’s economy to shrink by 5.4%- IMF
Written by MaryGift Sunday on June 25, 2020
The International Monetary Fund (IMF) has downgraded Nigeria’s 2020 growth projection, saying the economy will shrink by 5.4 percent.
The IMF had in April 2020 projected that the country’s economy would contract by 3.4 percent this year.
They disclosed this in its overview of the World Economic Outlook for June, titled, ‘A crisis like no other, an uncertain recovery’, which was released on Wednesday.
It stated that ‘Global growth is projected at –4.9 percent in 2020, 1.9 percentage points below the April 2020 World Economic Outlook forecast.
“The COVID-19 pandemic has had a more negative impact on activity in the first half of 2020 than anticipated, and the recovery is projected to be more gradual than previously forecast.”
The report said for the first time, all regions were projected to experience negative growth in 2020.
It said there were, however, substantial differences across individual economies, reflecting the evolution of the pandemic and the effectiveness of containment strategies; variation in economic structure; reliance on external financial flows, including remittances; and pre-crisis growth trends.