COVID-19: Nigeria Heading Towards Economic Recession- Finance Minister

The Finance minister, Zainab Ahmed, said the coronavirus pandemic and falling oil prices are impacting negatively on the federation’s revenues and foreign exchange earnings.

The Minister made this known after the National Economic council meeting in Abuja.

Zainab Ahmed said net oil, gas revenue and influx of revenue into the federation account in the first quarter of 2020, amounted to N940.91billion. This represented a shortfall of N125. 52billion or 31% of the prorated amount which ought to have been realized by the end of that first quarter.

She added that the economic contraction will multiply the misery of the poor.

Analysing the nation’s economic growth further, the minister said the nation’s GDP, could in the worst case scenario, contract by as much as –8.94% in 2020.

But with the fiscal stimulus plan that the government is working on, the contraction can be mitigated and might end up in a negative –0.59%.”