In the previous three years, the Central Bank of Nigeria (CBN) has injected over N9 trillion into the economy in the form of bailout monies to keep it afloat, assuring that the economy is in safe hands.
The apex bank stated in its Communiqué following the Monetary Policy Committee (MPC) meeting last week in Abuja that even the forecast from credible fiscal and monetary authorities has demonstrated that the economy is on the right track to recover before or by year’s end with its support.
The Federal Government of Nigeria (FGN), the International Monetary Fund (IMF), and the Central Bank of Nigeria are, respectively, the three fiscal and monetary authorities (CBN). The economy will increase by 3.52 percent (CBN), 4.20 percent (FGN), and 3.40 percent, according to all of them (IMF).
The announcement noted that the CBN had provided approximately N9 trillion in economic stimulus over the previous three years, in addition to providing a two-year moratorium on 10-year long-term credit facilities. The Committee thinks these initiatives have made a significant contribution to growth. However, the Committee urged the Bank to keep a careful eye on the inflationary implications of the actions given the ongoing pressures on prices.
“The economy has thus maintained continuous growth for seven consecutive quarters, following its exit from recession in 2020. This consistent positive performance was driven largely by the sustained growth in the non-oil sector, particularly services and agricultural sub-sectors, supported by continued policy interventions, as well as credit expansion to the private sector.