The Federal Executive Council on Wednesday received report on the 3.1% growth in Nigeria’s Gross Domestic Product, GDP, in the first quarter of 2022.
Minister of Finance, Budget and National Planning, Zainab Ahmed presented the report at the week’s meeting of the Council presided over by Vice President Yemi Osinbajo.
Mrs. Ahmed, who briefed the media after the meeting, said that the report showed a positive growth compared to 0.5% growth in the first quarter of last year.
“This growth shows a gradual economic stability from the recession that we witnessed in 2020.
“And also it shows the six quarter of positive growth that the Nigerian economy has presented.
“So, of the 46 economic activities, the bulk sector performance shows that services sector grew strongly by 4.7%, agriculture also grew by 3.61%.
“Industry on the other hand contracted by minus 6.81%, and there’s also a significant contraction in the crude oil, petroleum and natural gas sector of 26.04%.
“Coal mining sector also declined; oil refinery, the biggest contraction of 44.26%.”
The minister said that net effect was positive growth despite significant contraction in some sectors.
Not felt by people
Mrs. Ahmed pointed out that government was not “very mindful of the fact that unless we have most of the sectors growing, especially the growth in the jobs impacted sectors, that this growth that is positive will not be directly felt by the people.”
She said that the report also indicated that inflation has started going upward to the extent that the Central Bank of Nigeria, CBN, had to adjust the Monetary Policy Rate, MPR to 13% in the last Monetary Policy Committee, MPC, meeting in an attempt to manage the cost of inflation.
“So, council has decided to set up a special effort to look at the sectors that are not growing and also to look at how we can grow the other sectors better.
“Council has also decided that the National Food Security Council will very quickly meet to address the issue of food inflation, and also provide a plan and some methods in which we can reduce the cost of food to support improved food prices for the citizens,” she stated.
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