ICT and Agric Amongst Sectors that will Drive Economic Growth in Nigeria in 2022 - Bismarck Rewane

Thursday, January 12, 2022 / 5:47 PM / Ottoabasi Abasiekong for WebTV / Header Image Credit: Nigerian-British Chamber of Commerce

Agriculture, Information and Communication Technology, Transport, Trade, Financial Services, Construction, and Manufacturing have been identified as key sectors that will drive Nigeria's 3% projected economic growth in 2022. Mr. Bismarck Rewane, CEO Financial Derivatives Company Limited, made the point as keynote speaker at the Nigerian-British Chamber of Commerce 2022 economic outlook.

At an event attended by members of the Chamber, stakeholders in the economy, captains of industry, and business leaders, Rewane said that growth would be sustained while inflation would increase in Q1 and Q2, and begin to decelerate between Q3 and Q4.

He noted that the external reserves in the country will decline in 2022, because of the expected sustained intervention of the Central Bank of Nigeria, geared towards stabilizing the naira.

One sensitive area that would shape the economy in 2022, according to him would be the removal of fuel subsidy which he believed would be gradual.

The economist pointed out that three(3) advantages of "Fuel Subsidy Removal" include;  

• Reducing the incentives to smuggle petroleum products
• Increasing revenue for the Federal, State, and Local governments
• Improved accountability and good governance

He also listed the adoption of 5G, fuel subsidy removal, political activities, exchange rate adjustments, 2022 FGN budget implementation, debt servicing, and the Dangote refinery launch as key developments to watch in the year.

In addition, he identified aviation, cement, food & beverages, telecommunications, and financial services as industries that would gain traction.

The member of the Presidential Economic Advisory Council (PEAC) called for better coordination between fiscal and monetary policy authorities to support economic growth sustainability. 

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