Nigeria forecast to drive Africa’s GDP growth

Nigerian indepenceFrom OKORO CHINEDU in Lagos, Nigeria
LAGOS, (CAJ News) – NIGERIA, despite its myriad of challenges, is  projected contribute significantly to the continent’s economic expansion in the next five years.

This is according a report that indicates the continent’s biggest country by population and economy would constitute 25 percent of the gross domestic product (GDP) between 2015 and 2020.

The report by the Institute of Chartered Accountants in England and Wales (ICAEW) released on Wednesday evening, indicates GDP growth in Africa is projected to average 4,3 percent.

ICAEW said Nigeria’s burgeoning manufacturing sector was now one of the major driving forces behind the country’s economic growth.

Subsequently, automotive manufacturing is becoming a more prominent subsector with Nissan delivering its first ‘made-in-Nigeria’ cars during early 2015.

Furthermore, the organisation said, innovation in financial services – popularised as FinTech – the construction material and agro-processing subsectors has erupted as a primary global investment opportunity pose strong growth potential.

This is thanks to readily-available and has recorded rapid growth over the past five years as raw materials and government-driven infrastructural technological innovation allowed digitally-active consumers development programmes while institutional reform has laid the groundwork to streamline and improve on traditional banking services.

Regional Director, ICAEW Middle East, Africa and South Asia, Michael Armstrong, said this would eventually boost the continent’s GDP.

He however urged the continnt to create an enabling atmosphere for growth.

“Africa is the most commodity-dependent continent on earth. Africa’s economies increasingly need to create a hospitable environment for companies in the manufacturing and services sectors to drive growth, as the old models of growth driven by exports of raw materials are out-dated.”

ICAEW is a world leading professional membership organisation that promotes, develops and supports over 146,000 chartered accountants worldwide.

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Posted by on Mar 31 2016. Filed under Africa & World, Featured, Finance, National, News, Regional. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry

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