The United Nations has projected that the Nigerian economic growth to rise from 3.0% in 2023 to 3.1% in 2024.
However, there are certain things that depend on the growth. The UN research indicates that Nigeria’s GDP may grow in 2024 as a result of its aggressive stance against climate change and internal oil refining.
“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 percent,” the report reads.
“Efforts to increase in-country oil refining capacity would likely reduce domestic fuel costs in 2024 and beyond,” the report adds.
Nonetheless, a few factors, such as high living expenses, high rates of inflation, and an unfavorable business climate, pose a threat to the economy’s expansion.
“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 says.
Nigeria is among the countries listed to improve upon its existing circumstances, although not having made the largest leap.
The study points out that in 2023, there was a notable economic downturn in several of Africa’s biggest nations, including South Africa, Nigeria, Kenya, and Egypt.
Only South Africa and Nigeria are anticipated to have increases in their real GDP percentages by 2024.
