The one-day quarterly conference on Nigeria’s Economic Outlook held today at Lagos Continental Hotel, Kofo Abayomi Street, Victoria Island, Lagos. The convener, Dr. Ayo Teriba, CEO of Economic Associates enthused that the aim of the forum is to give insights into developments around the global, regional and Nigerian economy.
“The service sector is becoming a dominant side in GDP contributions. That’s an example of infrastructural shift which is key to the diversification agenda of the FGN,” he said to stakeholders at the conference.
Dr Teriba explained that the global environment in the last few years has been characterized by two things – Commodity Glut & Liquidity Glut. He stated that while commodity glut is a threat, a liquidity glut gives developing countries an opportunity to attract capital in an unprecedented manner.
Speaking on opportunities for the Nigerian economy, he said, “What we have lost in export revenue we can gain in capital inflows as a result of liquidity glut and that is because of the opportunities that lie therein.”
Giving his perspective on the Nation’s infrastructure, Dr. Teriba asserted that “the payoff of meeting the infrastructural needs of Nigeria is evidenced taking the telecoms sector as a prime example. Nigeria doesn’t lack resources, Nigeria lacks resourcefulness.”
On the issue of Foreign Direct Investment, he was of the opinion that “Nigeria’s 200million people are a stronger proposition than Saudi Arabia’s 40million. Thus, we can posit that Nigeria’s prospect of attracting Foreign Direct Investment is bigger than Saudi Arabia’s.”
He emphasized the fact that Foreign Exchange & Government Revenue are two prerequisites for setting the economy on course. The economist harped on the need for Nigeria to build Foreign Reserve Buffers. He believed “whatever raises reserves would further narrow the premium & reduce single digit inflation.”
“Reserves are key for the sustenance of growth. However, the challenge for Nigeria is how to achieve stability even in growth because oil price will always be subject to swings.” He said.
The conference was attended by participants from various sectors of the Nigerian economy, and also featured interactive sessions on critical issues in the socio-economic space