The Gross Domestic Product (GDP) in Nigeria was worth 448.10 billion US dollars in 2019, according to official data from the World Bank and projections from Trading Economics. The GDP value of Nigeria represents 0.37 percent of the world economy.

The Central Bank of Nigeria unexpectedly slashed its monetary policy rate by 100 bps to 11.5% during its September 2020 meeting, bringing borrowing costs to the lowest since 2016.

This was the second rate cut this year and came even as inflation has been above target since 2015, to continue supporting the economy that plunged 6.1% in the Q2 hit by the global pandemic. Meanwhile, headline inflation continued to climb to an over two-year high of 13.2% in August, pushed by higher food prices that remain under pressure due to floods, a weaker currency and clashes between herders and farmers.

The Committee said that the economy may continue to grapple with the effects of the pandemic throughout the rest of the year, projecting growth in Q4 2020, or at least by Q1 2021. The central bank stressed the urgent need for a combination of broad-based monetary and fiscal policy measures to curb the rise in inflation and contraction in output growth.

Nigeria’s central bank announced a credit relief of $136.6M to businesses affected by the coronavirus pandemic.

https://tradingeconomics.com/nigeria/interest-rate

Presented by Romano Pisciotti