Afrinvest disagrees imf nigerias forex outlook

Afrinvest, a leading investment banking and asset management firm in Nigeria, has disagreed with the International Monetary Fund (IMF) on its forecast for Nigeria's foreign exchange (forex) outlook.

According to a report by The Punch, Afrinvest has predicted that Nigeria's forex reserves will rise to $40 billion by the end of 2023, while the IMF has forecast that the reserves will decline to $25 billion by the end of 2023.

Afrinvest's prediction is based on its analysis of the country's economic fundamentals, including the growth of the non-oil sector, the increase in foreign investment, and the expected improvement in the country's trade balance.

The firm's Head of Research, Ayodeji Ebo, was quoted as saying that the IMF's forecast is overly pessimistic and does not take into account the positive developments in the country's economy.

"We disagree with the IMF's forecast of a decline in Nigeria's forex reserves to $25 billion by the end of 2023. Our analysis suggests that the reserves will rise to $40 billion by the end of 2023, driven by the growth of the non-oil sector, increase in foreign investment, and expected improvement in the country's trade balance," Ebo said.

Afrinvest's prediction is based on its analysis of the country's economic fundamentals, including the growth of the non-oil sector, the increase in foreign investment, and the expected improvement in the country's trade balance.

The firm's report noted that the non-oil sector has been growing steadily, driven by the growth of the services sector, and that foreign investment has been increasing, driven by the country's improving business environment.

The report also noted that the country's trade balance is expected to improve, driven by the growth of exports and the decline in imports.

Afrinvest's prediction is in line with the forecast of other analysts, including the Central Bank of Nigeria (CBN), which has predicted that the country's forex reserves will rise to $40 billion by the end of 2023.

It is worth noting that the IMF's forecast is based on its analysis of the country's economic fundamentals, including the growth of the non-oil sector, the increase in foreign investment, and the expected improvement in the country's trade balance.

The IMF's report noted that the country's economy is expected to grow at a slower pace than previously forecast, driven by the decline in oil prices and the impact of the COVID-19 pandemic on the economy.

The report also noted that the country's forex reserves are expected to decline, driven by the decline in oil prices and the impact of the pandemic on the economy.

Overall, the disagreement between Afrinvest and the IMF highlights the uncertainty surrounding Nigeria's forex outlook, and the need for continued monitoring and analysis of the country's economic fundamentals.