Nigeria Will Struggle as Recovery Proves Elusive - LBS Executive Breakfast Session - Aug 2020

Proshare

Thursday, August 06, 2020 /06:12 PM / By FDC / Header Image Credit: FDC

 

Proshare Nigeria Pvt. Ltd.


Nigeria will struggle as recovery proves elusive

The World Bank's decision to postpone its board meeting that was scheduled to hold today till October is a likely sign of the multilateral agency's growing impatience with Nigerian policy ambivalence on exchange rate unification and the adoption of cost reflective tariffs. The meeting was to deliberate on the $1.5bn COVID support facility and the $750mn power infrastructure funding. The Nigerian policy makers have been procrastinating on exchange rates for some time. Now it seems that the chickens are coming home to roost.

 

The silver lining is that the CBN & Finance Ministry are now likely to resolve these issues as a matter of urgency just as the external reserves haemorrhage continues (now at $35.71bn). In the meantime, the CBN will continue to drawdown on the external reserves to meet its backlog of commitments. However, investors will remain jittery just as the likes of Shoprite contemplate their future in Nigeria. Consumer aggregate demand will also struggle to recover to pre-pandemic levels as evident in the payments and settlements data. Total value of cheque transactions was N251bn in July, which is 32% lower than the value in January (N367bn). This becomes more relevant with the recent 3% increase in PMS price to N148.7 per litre.


The curse of a second wave of infections

The future is looking bleaker for Africa as infections cross the 1million threshold. South Africa currently accounts for 53% of Africa's total cases and is on the heel of a resurgence in infections. It has tested 4.8% (2.83million) of its population compared to its SSA peers, Nigeria (304,221) and Ghana (407,588). Testing and resource capacity have been major constraints in the region, forcing many countries to depend on the number of fatalities as an anecdotal proxy of the COVID picture. As fatalities continue to climb, Nigeria is at a risk of heightened panic and social unrest.

 

In this edition of the LBS Breakfast Session, Bismarck Rewane and the FDC Think Tank attempt to provide an insight into the implications of a COVID-19 resurging scenario on policy & business strategy. 

 

Kindly download The LBS Executive Breakfast Session - August 2020

 

Proshare Nigeria Pvt. Ltd.


Related News

1.       Lockdown Fatigue and Anxiety: A Potent Mix for Social Unrest - LBS EBS - June 2020

2.      Making Hay While the Sun Has Set- LBS Executive Breakfast Session - May 2020

3.      Consolation in Isolation: COVID-19 - Why You Are Unlikely to Die - LBS EBS - April 2020

4.      COVID-19: When It Rains, It Pours - LBS Executive Breakfast Session - March 2020

5.      Adapt or Perish - An Economic Necessity - LBS Executive Breakfast Session - February 2020

6.      The Nigerian Economy And Prospects in 2020

7.      2019 Review and 2020 Outlook - LBS Executive Breakfast Session - December 2019

8.     Ain't No Such Thing As A Free Lunch - LBS Executive Breakfast Session - November 2019

9.      The Stagflation Spectre Looms - LBS Executive Breakfast Session - Oct 2019

10.  Fasten Your Seatbelts, There Is Turbulence Ahead - LBS Executive Breakfast Session - Sept 2019

11.   Global Uncertainty - Is This The New Economic Order? - LBS Executive Breakfast Session - August 2019

12.  Nigeria and The Excess Supply of Intellectual Dishonesty - LBS Exec. Breakfast Session - July 2019

13.  Differentiating Between Regulatory Enforcement and Official Tyranny - LBS EBS - June 2019

14.  The New Agenda: Continuity or Change? - LBS Executive Breakfast Session - May 2019

15.  Policy Momentum, Management Inertia - LBS Executive Breakfast Session - Apr 2019

16.  The Class War Between The Poor and The Very Poor - LBS Executive Breakfast Session - Mar 2019

17.   Election 2019 - The Political Anti-Climax - LBS Executive Breakfast Session - Feb 2019

18.  2019 - A Year of Anxiety, Fear and Uncertainty

19.  2019 - A Year of Trepidation And Growing Uncertainties - LBS Executive Breakfast Session - Dec 2018

20. Political Headwinds and Economic Challenges - LBS Executive Breakfast Session - Nov 2018

21.  No Stability, No Democracy Bumpy Road Ahead - Fasten Your Seat Belts - LBS EBS - Oct 2018

22. The Players Change But The Game Remains - LBS Executive Breakfast Session - Sept 2018

23. Watching From The Political Balcony - LBS Executive Breakfast Session - Aug 2018

24. From Russia with Tears and the New Economic Disorder - LBS EBS - July 2018

25. The New Political Calculus - LBS EBS - June 2018

26. Make Hay In May, While The Sun Still Shines - LBS EBS - May 2018

27.  Talking Economics and Thinking Politics - LBS EBS - April 2018

28. At $65, Oil is Up 22.4% in 12 Months, Can It Fall Again?? - LBS EBS - March 2018

29. 2019 - The Changing Political Calculus - LBS EBS - February 2018

30. The FDC 2018 Periscope - The Good, The Bad and The Annoying

31.  There is More to Economic Growth Than Numbers - LBS EBS - December 2017

32. The More Things Change The More They Stay The Same - LBS EBS - November 2017

33. Basking in the Afterglow of Reform - LBS EBS - October 2017

34. Buhari Returns: Hope High and Challenges Daunting - LBS EBS - September 2017

35. Nigerian's Domestic Debt: A Ticking Time Bomb - LBS EBS - August 2017

36. Nigeria: Is The Recovery For Real? - LBS EBS - July 2017

37.  Nigeria: Recovery Slow, Steady but Painful - LBS-EBS June 2017

38. Nigerians May Escape from Anxiety with a Stronger Naira - LBS EBS - May 2017

39. Naira Gains as the CBN Tries to Catch a Falling Knife - LBS EBS - April 2017

40. Economic Reform by Coincidence - Does It Really Matter? - LBS EBS - March 2017

41.  Nigeria's Economic Reform - Resist Now and Regret Later - LBS EBS - Feb 2017

42. 2017: A Year of Fear Laced with Hope

43. Running Faster to Stand Still - LBS EBS - Dec 2016

44. Recovery Fades, Strong Regulator versus Efficient Markets - LBS EBS Nov 2016

45. Nigeria Oil Shock 2.0 and the Treacherous Path to Recovery - LBS EBS Oct'16

46. Recession: how deep and for how long? - LBS EBS Sep'16

47.  Policy Daunting, Markets Uncertain, Citizens Groan - LBS EBS - Aug 2016

48. With Inflation at 16.5%,Nigeria Stumbles into the Reform Path-LBS EBS Jul 2016

49. Sell in May and Go Away - LBS EBS - May 2016

50. The Squandering of a Golden Economic Opportunity - LBS EBS Apr 2016

51.  Naira Weakness Undermines Economic Stability - LBS EBS - March 2016

52. 2016: The Year of Stark Economic Reality - LBS EBS - Feb 2016

53. 2016 - A Year of Growth and Commodity Turmoil - LBS EBS - Dec 2015

54. Fantasy economics & the value of the Naira - LBS EBS - Nov 2015

55.  All the Presidents' Men - Dream team or Lightweights - LBS EBS - Oct 2015

56. Loot Recovery? Restitution is no Retribution - LBS EBS - Sep 2015

57.  Nigeria goes back to the Future : Market vs. Control Economy - LBS EBS - Aug 2015

58. Buhari: Slow Start or Guessing Game - LBS EBS - July 2015

59. Reflating a Strangulating Economy - LBS EBS - Jun 2015

60. Leadership Change is not a System Change - LBS EBS April 2015

61.  Is the Naira Ever Going to Recover? - LBS EBS - March 2015

62. Nigeria at Crossroads- Stability or Change, Which do You Prefer? -LBS EBS - Feb 2015

63. The Falling Naira: Are you Prepared? - LBS EBS- Jan 2015

64. Octobers can be eventful - LBS EBS - Nov 2014

65. Inflation Up, Stock Market Down, What Next? - LBS EBS Sep 2014

66. MUMU-NOMIKS vs. Economics - LBS EBS - Jun 2014

 

Proshare Nigeria Pvt. Ltd.

READ MORE:
Related News
SCROLL TO TOP