Nigeria May Get Recession Extension In 2017 – MAN
Nigeria May Get Recession Extension In 2017 – MAN. Photo: Pinterest

By Andah John with agency reports

President of Manufacturers Association of Nigeria Frank Jacobs believes it would be difficult for the country to get out of recession in 2017.

Advertise With Us

Jacobs, who had a chat with the News Agency of Nigeria on Wednesday in Abuja, called for the introduction of policies and initiatives to control the economy.

The MAN president advised government to take steps to shore up the manufacturing sector. He said government can do it by ensuring that the concessionary Forex allocation to the sector is effectively implemented.

“One cannot say for sure that the recession will be over in 2017.

”Manufacturers are now patronising the parallel market for their Forex requirements. But this is at a very high exchange rate.

”Unfortunately, after production, consumers may not be able to purchase such products, which may lead to the closure of some of the factories.

Wants improvement in manufacturing sector

The Minister of Finance Kemi Adeosun had severally reassured Nigerians that by 2017, the country would be out of recession. But Jacobs thinks otherwise.

“I have not seen anything to suggest that, at least not from the perspectives of the manufacturing sector, ” Jacobs said.

He does not see respite in sight as it relates to the price of crude oil in the international market. He also attributed Nigeria’s economic setbacks to the activities of militants in the Niger Delta.

Experts predict difficult 2017 for Nigeria

Recently, economic experts predicted that 2017 would be tougher than 2016. They added that the economy might not recover until 2018.

The experts also noted that due to continued rise in inflation, Naira to Dollar might remain in the 450s.

They further predicted liquidity squeeze, adding that many more businesses would fold up, leading to job losses and more poverty.