Emefiele says nigeria experiencing economic stagnation inflation

You're referring to the recent statement by Godwin Emefiele, the Governor of the Central Bank of Nigeria (CBN).

According to reports, Emefiele stated that Nigeria is currently experiencing economic stagnation and high inflation. He made this remark during a meeting with the Senate Committee on Banking, Insurance, and Other Financial Institutions.

Emefiele attributed the economic stagnation to several factors, including:

  1. Low economic growth: He noted that Nigeria's economic growth has been sluggish, with the country's Gross Domestic Product (GDP) growth rate averaging around 2% in recent years.
  2. Inflation: Emefiele highlighted that inflation has been a major challenge, with the country's inflation rate averaging around 12% in recent years. He attributed this to factors such as high demand for goods and services, supply chain disruptions, and the impact of the COVID-19 pandemic.
  3. Fiscal challenges: He also mentioned that the country's fiscal challenges, including a large budget deficit and high debt levels, are contributing to the economic stagnation.
  4. External shocks: Emefiele noted that external shocks, such as the decline in global oil prices and the impact of the COVID-19 pandemic on international trade, have also affected the country's economy.

To address these challenges, Emefiele called for a combination of monetary and fiscal policies, including:

  1. Monetary policy reforms: He emphasized the need for the CBN to continue implementing monetary policy reforms to stabilize the economy and reduce inflation.
  2. Fiscal policy reforms: He also called for fiscal policy reforms, including the need for the government to reduce its budget deficit and debt levels.
  3. Structural reforms: Emefiele emphasized the need for structural reforms to improve the country's business environment, increase investment, and promote economic growth.

Overall, Emefiele's statement highlights the challenges facing Nigeria's economy and the need for a combination of monetary, fiscal, and structural reforms to address these challenges and promote sustainable economic growth.