Nigeria to Hire Economic Growth Expert for ₦458m per annum

The Minister of Budget & National Planning Udo Udoma announced after the Federal Executive Council Meeting that the Federal Government has approved the hiring of an external consultant to conduct a study that will aid the implementation of the Economic Growth & Recovery Plan that was developed by the government in November 2016.

The Minister of Budget & National Planning disclosed this to State House Correspondents at the end of a meeting of the National Council chaired by the Vice President, Yemi Osinbajo at the Presidential Villa Abuja

The cost to tax payers is ₦458m. He said the Consultant will identify stakeholders in Private & Public Sector necessary to implement the Economic Growth & Recovery Plan (EGRP)

In the 20th of November 2017 the National Bureau of Statistics announced that the Nigerian Economy grew in the third quarter to 1.4%. In the first quarter it was -0.6% which placed Nigeria in a technical recession, in the second quarter it moved to 0.6% as a result of increase in Oil prices, non oil exports, stabilization of the foreign exchange market and increase in the foreign direct investments.

Kelvin Emmanuel

About Kelvin Emmanuel

The Oil producing Angola in the Southern part of Africa faces what Nigeria faced 12months ago; a distortion in its exchange rate with a difference between the official markets and the parallel black markets. One dollar through the official window buys you 166 kwanza, while one dollar through the black market buys you 400 kwanza. Nigeria faced the same challenge 12months ago, when the distortion between the official and black markets was as much as the official markets trading at 306 with the parallel market ranging from 450 through to 510. The Central Bank Governor of Angola, Jose de Massano Junior announced in Luanda “We will stop having a fixed foreign exchange, we will adopt a floating regime of foreign exchange”. Angola faces exactly the same challenges and has been applying the exact same responses to an exchange rate crisis like using its foreign reserves that was sitting at $26bn to defend the currency kwanza, with no success so far, even though the external reserves has dropped to $14bn. Angola relies on Oil receipts for 80% of its government revenue, 90% of its inflow and 50% of its GDP. Angola is a $194bn economy that has been growing at an average of 10% on the back of rising oil prices since 2002 when its 27 year old civil war that started in 1975 ended. The state national oil company Sonangol reports that it produces up to 1.8m barrels of crude oil daily, however the government that until now has being led by the family dynasty Jose Eduardo dos Santos until recently when succession saw power transferred to Joao Lourenco, reports that the oil price rout in 2015/2016 that saw prices drop to as low as $28 per barrel caused ripples across the economic structures of the government, upsetting government revenues, its ability to fund its budget, capital project funding, foreign direct investments into the economy as a result of a currency crisis that was driven by the widening of gap between the official and street window of the kwanza, that until now has been pegged in a fixed exchange rate regime to the US Dollar.