Nigeria’s economy has been projected to grow at 3.47% in 2024. Dr Biodun Adedipe, an economist and Chief Consultant at BAA Consult, disclosed this as the keynote speaker at the First Bank “Nigeria Economic Outlook” session. The event brought together economists, bankers, analysts, and experts and discussed the theme “Current Realities and Prospects.”
According to Dr. Adedipe, the official exchange rate for BAA Consult outlook is expected to reach an average of N900/ $1 while the parallel market will peak at N1,235/$1.
“For the exchange rate, significant utterances of the President, Minister of Finance and the Central Bank Governor are critical and monitored by bankers and analysts. Also, the budget assumptions also serve as a guide to what to expect in the year,” He said.
He noted that every time there is an economic shift, a new equilibrium is created, which manifests in the recent fuel subsidy removal. “Initially, when the fuel subsidy was removed the number of cars reduced in Lagos. When people started adjusting and getting used to the price the cars started returning to the roads. The traffic jam, which was minimal during the period of the subsidy removal, returned,” Dr. Adedipe added.
The economist stressed that the major driver in the foreign exchange market would be supplied and harped on export-led initiatives, which First Bank is one of the key financial institutions providing support. He emphasized the point that domestic manufacturing and exports are two major business opportunities that should be explored in 2024.
He described First Bank as the foremost financial institution that has intentionally encouraged its customers to key into the non-oil sector. He encouraged businesses to be innovative and key into the export value chain and key sectors that will boost Nigeria’s GDP growth in 2024.
In his opening remarks, the Managing Director/Chief Executive of First Bank Nigeria, Dr. Adesola Adeduntan, said 2024 has started on a strong footing with the signing of the N28.7trn budget by President Bola Tinubu, GCFR. He believed the N9.9trn(Approximately N10trn) budget for capital expenditure would create enough stimulus in the economy, allowing significant players to tap into the growth and aspiration of the government.
He said, “The focus of the 2024 Economic Outlook is to understand how First Bank can continue to play a pivotal role in the economy, supporting businesses and getting a clear pathway to how the economy will fare in the year. First Bank remains committed to supporting businesses in the country, serving as a trusted adviser.”
The event featured a panel session that discussed the keynote presentation and theme of the economic outlook. It was moderated by Mr Chike Uzoma, Head of Strategy & Corporate Development, at First Bank Nigeria, with Dr Jumoke Oduwole, Special Adviser to the President on PEBEC & Investment, Mr Oluwatosin Adewuyi, ED, Corporate Banking, First Bank Group and Mr. Babajide Ogunsanwo, Founder, Factbox Co as discussants
