The International Monetary Fund (IMF) has painted a stark picture of Nigeria’s economic situation, highlighting the country’s “difficult external environment” and “wide-ranging domestic challenges.”
In a statement, titled “IMF Executive Board Concludes Post Financing Assessment with Nigeria,” the body emphasized the scarcity of external financing, both from markets and official sources, further worsened by increasing global food prices due to conflict and geopolitical tensions.
The statement read: “Nigeria faces a difficult external environment and wide-ranging domestic challenges. External financing (market and official) is scarce, and global food prices have surged, reflecting the repercussions of conflict and geo-economic fragmentation.
“Per-capita growth in Nigeria has stalled, poverty and food insecurity are high, exacerbating the cost-of-living crisis. Low reserves and very limited fiscal space constrain the authorities’ option space. Against this backdrop, the authorities’ focus on restoring macroeconomic stability and creating conditions for sustained, high and inclusive growth is appropriate.”
