President of Abuja Chamber of Commerce and Industry (ACCI), Dr Abubakar Al-Mujtaba, has commended the Federal Government for the impressive actions and sacrifices it made to help the nation exit recession in the fourth quarter of 2020.
This commendation was made by him in a statement issued by Latifat Opoola, the Media Officer of Abuja Chamber of Commerce and Industry.
According to a news report by NAN, Al-Mujtaba noted that the growth in agriculture, telecommunications and manufacturing sectors in the fourth quarter of 2020, which helped to offset a sharp drop in oil production, was impressive. He expressed optimism over other sectors picking up in subsequent quarters.
The ACCI President also noted that the government’s spendings on key infrastructure in the nation would help to bridge the nation’s infrastructure gap and stimulate her growth potential.
He noted that the reopening of the four land borders was also a step in the right direction, which would play a key role in driving prices down.
Dr Abubakar Al-Mujtaba in his statement said:
“What the government has done so far to put the nation back on the path of growth is impressive, however, there will be sustained inflationary pressures on consumers’ purchasing power in the coming months, causing a strain on businesses in the country.
“The government needs to work more to address the constraints of farmers, Micro, Small and Medium Enterprises and manufacturers which were critical at this stage to drive sustainable growth of the country.
“Government at all levels must forge partnerships between universities, research institutions and public, private sector institutions in developing and implementing solutions to aid productivity in agriculture and manufacturing sectors. This will be important in order to build a sustainable productive base for the nation.”
According to a report by Nairametrics, Nigeria’s Gross Domestic Product (GDP) grew by 0.11% (year-on-year) in real terms in the fourth quarter of 2020.
This represents the first positive quarterly growth in the last three quarters after the nation’s economy slipped into a recession in the third quarter of 2020.
It is important to note that the nation’s economy slipped into its second recession in five years, in the third quarter of 2020 with a decline of 3.6 per cent, having contracted 6.1 per cent in the second quarter.
However, for the full year 2020, the economy contracted 1.92%, compared with the International Monetary Fund’s (IMF) projection of 3.25% contraction.