According to a report by the McKinsey Global Institute, the Nigerian economy has the potential to become one of the world’s leading economies by 2030. But we look at continuing challenges in Nigeria that might restrain development.
The biggest risk to the economy at the moment would be a rapid rise in inflation due to a further sharp depreciation of the rand, forcing the SARB to hike rates. It won’t take too many rate increases to push us into recession. But every cloud has a silver lining, the economy is still growing. We take a look.
All the public holidays around this time in South Africa has some serious financial implications for businesses and in turn, the economy. The effect of one public holiday can cost the country around R1bn. We look at other ways in which public holidays are negatively affecting South African business.
To measure overall economic activity, statisticians calculate gross domestic product (GDP). In Nigeria’s case, GDP calculations were done until recently using 1990 as the base year. The economy has changed substantially since then and only 33 sectors were covered in the calculation. The rebased GDP estimate now includes 46 sectors.