The African Economic Outlook 2012
Tag: African Economic, African Economic Outlook
Summary: The 291-page book was jointly published by the UN Economic Commission for Africa (UNECA), the UNDP, the African Development Bank Group, the Organization of Economic Cooperation and Development.
The 291-page book was jointly published by the UN Economic Commission for Africa (UNECA), the UNDP, the African Development Bank Group, the Organization of Economic Cooperation and Development.
The book, which was presented in Addis Ababa by Prof. Emmanuel Nnadozie, the Director, Economic Department and NEPAD division, UNECA, said Nigeria’s outlook for the future remained favourable.
It said the robust growth recorded was driven mainly by non-oil sector, in particular telecommunications, construction, wholesale and retail trade, hotel and restaurant services, manufacturing and agriculture.
``To mitigate the negative impacts of the global economic crisis, the government pursued an expansionary fiscal policy to maintain growth and social sector spending that led to pressure on consumer prices.''
The book said a major challenge to increasing the absorptive capacity of the Nigerian economy was the dilapidated state of infrastructure, in particular power, road transport and railways, and the overdependence of the economy on the oil and gas industry.
``These are the priorities of the transformation agenda of the current administration and are being addressed through the creation of an enabling environment for private sector participation in infrastructure development, and through the development of non-oil sector.’’
The book further said that in spite of the dominance of the oil sector, agriculture played a significant role in the national economy, accounting for the largest single share of Gross Domestic Product (GDP).
``Sustained growth in the agricultural sector is a principal factor in promoting inclusive economic growth, reducing poverty and ensuring the nation’s food security.’’
The book, however, said that in spite of the robust growth, the Nigerian economy had failed to generate decent jobs as poverty was widespread.
``The unemployment rate is currently 23.9 per cent compared with 21.1 per cent in 2010.’’
The book, which was the 11th edition, said the unemployment rate among the youth was 37.7 per cent, one of the highest in sub-Saharan Africa .
``Poverty is also very high and persistent. Social indicators in health and education remain week.’’
The book also said the Macroeconomic indicators on Real GDO Growth was 7.8 per cent in 2012, dropped to 6.7 per cent in 2011 and rose to 6.9 per cent in 2012, while it was projected to drop to 6.6 per cent in 2013.
The theme of the publication, which gave a country by country economic performances of 54 African countries, was ``Promoting Youth Employment.’’
Nnadozie said the Republic of Somalia was exempted from the outlook because of the prevailing security situation in the country.
He, however, said with the current positive political process, Somalia would feature in the 2013 African Economic Outlook.
Nnnadozie said the central message of the publication was job creation for African youth by African governments.