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· EFG Hermes, a financial service corporation, has described Nigeria’s economic recovery process as fragile
· To address the macroeconomic instability, the organization felt that Nigeria needs structural reforms.Covid-19, followed by tight foreign exchange conditions and rising inflation have had a toll on the fragile Nigerian economy
· A combination of deteriorating security situation, a weaker naira, import controls and logistical challenges partly due to COVID-19 are the immediate causes for higher inflation
EFG Hermes, a financial service corporation, has described Nigeria’s economic recovery process as fragile. To address the macroeconomic instability, the organization felt that Nigeria needs structural reforms.Covid-19, followed by tight foreign exchange conditions and rising inflation have had a toll on the fragile Nigerian economy.
The West African country’s inflation rose to 18.17 per cent from17.33 per cent recorded in February 2021. Infrastructure deficit remains one of the key challenges in the country to create a sustainable base of economic growth. Foreign portfolio investors have backlogs in the system while the Central Bank of Nigeria (CBN) continues to impose import controls.
A combination of deteriorating security situation, a weaker naira, import controls and logistical challenges partly due to COVID-19 are the immediate causes for higher inflation.
