Good News as Nigeria emerges Africa’s largest economy


South Africa  now confirmed as the continent’s second-largest economy.

The answer to the question of whether South Africa or Nigeria, the two countries that account for almost half of sub-Saharan Africa’s gross domestic product, is the biggest economy on the continent has long depended on which exchange rate you use for the West African nation.

But now both the official naira rate of 306 per dollar and the weaker market exchange rate of around 360 that almost all investors use put Nigeria tops.

Hot Jobs 🔥 1. Rano Air Limited Massive Recruitment for OND, HND/BSC Graduates 2. Skyway Aviation Handling Company Plc Management Trainee Programme 2021 For BSC/HND

Nigeria’s growth beat forecasts in the fourth quarter, helping its economy to expand the most in four years last year as oil output increased and the central bank took steps to boost credit growth.

Read Also: It’s undemocratic for courts to award electoral victories –Oshiomhole

Gross Domestic Product (GDP) in the West African country stood at $476 billion or $402 billion, depending on the rate used.

South Africa’s economy went the opposite direction.

It slumped into a second recession in consecutive years, contracting more than projected in the fourth quarter as power cuts weighed on output and confidence. For the full year, expansion was 0.2 per cent, the least since the global financial crisis, and even less than the central bank and estimated. Based on an average rand-dollar exchange rate of 14.43 for the year, GDP was $352 billion.

Projections show  the economy will continue to grow faster. While the International Monetary Fund (IMF) cut its forecast for Nigeria’s 2020 growth to two per cent from 2.5per cent last month due to lower oil prices, South Africa’s GDP is forecast to expand only 0.8per cent.



Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.