Guy Czatoryski: Nigeria’s GDP to grow by 2.25% in 2019

Outdoor mall and pedestrian bridge in downtown Lagos.

Coronation Merchant Bank, yesterday, projected that Nigeria’s economy will grow by 2.25 percent in 2019.

Head of Research, Coronation Merchant Bank, Guy Czatoryski, disclosed this while presenting the bank’s Economic Outlook for 2019

“We expect growth to be 2.25 percent in 2019. Consumer demand is very weak and we do not expect an uptick in the immediate future. Government expenditure does not very much from year to year, with the 2019 budget currently considered at N8.83 trillion versus N9.12 trillion for 2018”, he said. Flight to safety, low interest rates trigger 270% boom in commercial papers

Speaking on the direction of crude oil price and impact on the nation’s exchange rate, Czatoryski said the bank projects average oil price of $58 per barrel, stressing that while this may be below the budget benchmark of $60 per barrel, it is high enough to generate foreign exchange needed to defend the naira.

He however said that if oil goes below $58 per barrel, the CBN will have to raise treasury bills rate to attract dollar inflow from portfolio investors so as to maintain exchange rate stability.

IMF members pledge to avoid using currencies as trade weapon He stated: “A lot depends on oil this year. We forecast an average $58 befell for 2019. An average much below this means CBN will have to keep rates very high and could even challenge the naira/dollar exchange argument.

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Godwin Okafor is a Financial Journalist, Internet Social Entrepreneur and Founder of Naija247news Media Limited. He has over 16 years experience in financial journalism. His experience cuts across traditional and digital media. He started his journalism career at Business Day, Nigeria and founded Naija247news Media in 2010. Godwin holds a Bachelors degree in Industrial Relations and Personnel Management from the Lagos State University, Ojo, Lagos. He is an alumni of Lagos Business School and a Fellow of the University of Pennsylvania (Wharton Seminar for Business Journalists). Over the years, he has won a number of journalism awards. Godwin is the chairman of Emmerich Resources Limited, the publisher of Naija247news.


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