CBN Governor predicts growth in GDP for Q3, Q4, 2022
…Calls for increased support for smallholder farmers to revive economy
By Ibiyemi Mathew
Governor of the Central Bank of Nigeria (CBN), Mr Godwin Emefiele, has predicted an increase in the growth of Nigeria’s gross domestic product (GDP) amidst rising inflation and harsh economic conditions.
Speaking at the 57th Annual Bankers’ Dinner held in Lagos, Emiefele said, “Based on the expectation of a robust non-oil performance, and barring any unforeseen shocks, GDP growth rate is projected to remain positive in the remaining quarter of 2022 and during 2023.”
Speaking further, the CBN Governor noted that, “The performance of the non-oil sector will be buoyed by the continued efforts at entrenching indigenous productivity in high-impact real sector activities, especially agriculture, MSMEs, and manufacturing.
“Domestic aggregate demand is further expected to be bolstered by the anticipated budgetary outlay and the surge of electioneering spending in the next few months.
“From 3.54 per cent in quarter two of 2022, growth is projected to reach 3.7 per cent in quarter three and 3.47 per cent by the fourth quarter,” he said.
Addressing areas which government and organisations should major on to promote shared prosperity, Emiefele called for increased support to smallholder farmers to revive the economy
According to him, “Given the global and domestic headwinds we face as a nation, and the volatility in the global environment, we have no other option, as leaders interested in the progress of our nation, but to work very hard to spur job creation by reviving agricultural and industrial activities in the country.
“Like I have said many times before, if we continue to support the growth of smallholder farmers, you can only imagine the amount of wealth and jobs that will be created in the country. If we turn a blind eye to the opportunities provided by our enormous human and material resources, this could spell doom for our nation.”
Commenting on Nigeria’s disposition to the the current global order and challenging macroeconomic conditions, the CBN Governor acknowledged that it portends a huge downside risk for the prospect of the Nigerian economy.
“We are thus reminded of the need to look inward in developing policies that will correct the fundamental failures that have undermined our economy.
“Accordingly, the CBN, guided by best judgement and data will continue to act in good faith to ensure the increased prosperity of the Nigerian economy,” he said.
A breakdown of some of the activities in the agriculture sector indicated that between July and August 2022, under the Anchor Borrowers’ Programme (ABP), the CBN disbursed N54.82 billion to several agricultural projects, bringing the cumulative disbursements under the Programme to N1,026.27 trillion to over 4.6 million smallholder farmers cultivating 21 different commodities across the country.
The CBN also released N0.70 billion to finance large-scale agricultural projects under the Commercial Agriculture Credit Scheme (CACS), bringing the total disbursements under the Scheme to N745.02 billion for 679 projects in agro-production and agro-processing.
Meanwhile, President/Chairman of Council of The Chartered Institute of Bankers of Nigeria (CIBN), Ken Opara, in his welcome address reaffirmed CIBN’s support to the laudable initiatives of the CBN.
“Being the conscience and moral compass of the banking and finance industry, CIBN is resolute and committed to the observance and maintenance of ethics and professionalism among practitioners in the industry,” Opara stated.
