Nigeria's Economic Growth Shows Huge Recovery Post Pandemic-Africa Trade Report

Samuel Mobolaji

Nigeria’s economic growth has largely recovered after the 2020 recession (primarily brought about by the COVID-19 pandemic), with an average projected economic growth of 3.2 per cent in 2022-2024, latest Stanbic IBTC Holdings findings from the Africa Trade Barometer Report 2022 revealed.

The report, which assesses key economic indicators in Africa highlights several noteworthy developments across 10 African countries.

According to the report, Nigeria is placed eighth out of the ten countries on the Africa TradeBarometer (ATB) after dropping one position (sixth to seventh place) on the Qualitative TradeBarometer (QTB) rankings and gaining two places (10th to eighth position) on Survey TradeBarometer (STB), which was driven mainly by directional improvements in the trader’s financial behaviour.

Speaking on the report, Head of Business and Commercial Clients, at StanbicIBTC Bank, Remy Osuagwu, noted that the report’s findings are a testament to the hard work and commitment of businesses and people in creating a conducive environment for economic development.

According to the report, the macroeconomic stability in Nigeria has improved significantly, and business confidence has been boosted, with several small businesses growing through prudent fiscal and monetary policies.

The report also identified an increased trade openness across the continent. Various regional and multilateral agreements have facilitated this positive trend, reducing trade barriers and improving market access.

Nigerian firms have become more optimistic about prospects for importing and exporting, a significant increase in porting and a directional increase in exporting.

The report also provides insights into traders’ financial behaviour and access to finance.

It highlights the need for financial institutions to provide affordable, accessible, and appropriate financial services to traders, especially small and medium-sized enterprises (SMEs), to support their growth and expansion. At Stanbic IBTC, we are at the forefront of this action as we have implemented solutions to help businesses thrive.

“The Africa Trade Barometer Report 2022 identifies several positive developments, challenges, and how to scale up a business in Nigeria’s trade sector. These developments demonstrate the country’s resilience and potential for growth and should encourage investors to explore opportunities in the region. At Stanbic IBTC, we remain committed to supporting our clients and partners in navigating the opportunities and challenges presented by the African market,” Remy added.