Reduced productivity is cited by the Lagos Chamber of Commerce and Industry and the Centre for the Promotion of Private Enterprise as a problem impeding the nation’s economic growth.In response to the National Bureau of Statistics’ release of the Gross Domestic Product data for the second quarter of the year, the economic think-tank and chamber of business made this declaration.
The CPPE said that the negative effects of the most recent economic changes were disproportionately greater than anticipated in a statement that was made available to The reposter.The CEO signed the statement, which stated that as long as the existing economic inefficiencies are addressed, a medium- to long-term economic resurgence is anticipated.
A portion of the statement said, “The economy’s structure continues to show its vulnerabilities, particularly the issues with productivity and real economy competitiveness.”The second-quarter GDP growth was better than the United States’ 1.8% and the Euro Zone’s 1% estimates, but it was still below the sub-Saharan projected average of 3.1% for 2023.”
Yusuf went on to say that structural, policy, or macroeconomic problems are the reason behind the recession in industries including oil refining, livestock, textiles, and crude petroleum and gas.”Higher inflationary pressures, exchange rate volatility, spiking energy costs, insecurity, and the political economy of the oil and gas sector continued to subdue growth in these sectors,” he concluded.
The deputy president of the Lagos Chamber of Commerce and Industry, Gabriel Idahosa, spoke exclusively to The PUNCH and attributed the drop in productivity in the actual economy of the nation to recent economic reforms.
He continued by saying that the circumstances had exacerbated the nation’s currency issue, which has made things challenging for the business community.”It’s not surprising that trade isn’t at the level it should be,” Idahosa remarked. The economy has been moving in one direction due to these economic reforms.
Any currency’s value is equal to its export minus its imports. Thus, if we are successful in increasing exports, the tendency will eventually reverse.