Nige­ria’s econ­omy bleak in first half-NACCIMA

Daily Trust - - BUSINESS - From Mo­hammed Shosanya, La­gos

The Nige­rian As­so­ci­a­tion of Cham­bers of Com­merce, In­dus­try, Mines and Agri­cul­ture (NACCIMA) yes­ter­day said the na­tion’s econ­omy in the first half of the year(Jan­uary -June 2016) was bleak and harsh.

Pres­i­dent of the as­so­ci­a­tion, Dr. Bassey Edem, who gave the as­sess­ment at a press brief­ing on the state of the econ­omy and the as­so­ci­a­tion’s per­spec­tive on some trend­ing so­cioe­co­nomic is­sues, also said the rate of in­fla­tion al­most dou­bled since the be­gin­ning of the year, from 9.55 per­cent to 16.45 per­cent which is the high­est point since 2015.

He added that elec­tric­ity gen­er­a­tion re­duced by al­most 50 per­cent.

Edem said dur­ing the pe­riod the price of petroleum prod­ucts also dou­bled, while for­eign ex­change earn­ings have con­tin­ued to drop sig­nif­i­cantly due to re­duc­tion in out­put caused pri­mar­ily by the van­dal­i­sa­tion of in­fra­struc­ture and low crude oil prices in the global mar­ket.

He said: “Al­though, we ac­knowl­edge the ef­fort of the fed­eral govern­ment in ad­dress­ing these is­sues, these ef­forts have not trans­lated into mea­sur­able pos­i­tive in­di­ca­tors; rather it has led into re­ces­sion which has be­come a thing of worry to pri­vate sec­tor oper­a­tors.

“The real sec­tor is reel­ing un­der the bur­den of ris­ing costs of pro­duc­tion in a state of near eco­nomic stag­na­tion while fac­ing the prospects of be­ing the base by which the govern­ment hopes to ob­tain tax rev­enue to fi­nance the econ­omy.

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