The International Monetary Fund (IMF) has forecasted that Nigeria’s Gross Domestic Product (GDP) could experience a significant increase to five percent, contingent upon a reduction in governance and business regulation bottlenecks by 25 percent. Currently, Nigeria’s economy is growing at 3.19 percent year-on-year, according to the National Bureau of Statistics’ recent report.
Dr. Christian Ebeke, IMF Resident Representative, highlighted this projection during the 2024 International Business Conference and Expo, organized by the Lagos Chamber of Commerce & Industry. He emphasized that the current growth rate of three percent could potentially reach five percent by addressing and mitigating structural issues in governance and business regulations.
Ebeke elaborated that the IMF’s simulations indicate that reducing these bottlenecks by 25 percent could boost Nigeria’s economic output by up to 6.4 percent over the next three years. He noted that closing the structural gaps would enhance Nigeria’s economic performance and create a more conducive environment for businesses amidst high interest rates and inflation.
Further remarks at the conference included Nigeria’s Minister of Marine and Blue Economy, Adegboyega Oyetola, who detailed the Federal Government’s initiatives to attract investment. These include the establishment of the Nigeria Export Processing Zones Authority and infrastructure improvements such as reduced turn-around times for vessels and trucks at key ports.
Gabriel Idahosa, President of the Lagos Chamber of Commerce & Industry, underscored the need for bold reforms in sectors like agriculture, energy, and technology. He called for a supportive policy and regulatory framework to stimulate foreign investment and reduce Nigeria’s reliance on oil imports.