Connect with us


Cash shortages in Q1 to weaken Nigeria’s growth in 2023 –Fitch



Fitch Solutions, the research arm of credit rating agency, Fitch ratings, has predicted that Nigeria’s economy will grow by only 2.3 percent this year, down from 3.1 percent in 2022.

Fitch stated this in its Africa Monthly Outlook report released on its website on Tuesday.

“We forecast that Nigeria, Sub Saharan Africa’s largest economy and oil producer will record below-trend growth of 2.3 percent in 2023, down from 3.1 percent in 2022.”

READ ALSO:SHORTAGE: CBN to flood market with lower naira denominations

Fitch also said that the central bank’s decision to demonetise high-value banknotes had created acute cash shortages in Q1 2023, severely disrupting commercial operations and preventing payments.

The credit rating agency also forecast that Nigeria’s crude output will stagnate at an average of 1.5mn b/d in 2023, following a record decline of 14.0 percent in 2022.

Join the conversation


Support Ripples Nigeria, hold up solutions journalism

Balanced, fearless journalism driven by data comes at huge financial costs.

As a media platform, we hold leadership accountable and will not trade the right to press freedom and free speech for a piece of cake.

If you like what we do, and are ready to uphold solutions journalism, kindly donate to the Ripples Nigeria cause.

Your support would help to ensure that citizens and institutions continue to have free access to credible and reliable information for societal development.

Donate Now