OpeOluwani Akintayo Lagos — The Nigerian National Petroleum Corporation has said it anticipates a remittance of N1.27tn to the federation…
Browsing: oil price collapse
Fitch has substantially cut its growth forecasts for Nigeria to reflect a weak performance in 1H16 and continuing policy challenges, including implementing the new foreign-exchange regime and delays in the disbursement of the 2016 budget.
The NBS had predicted a growth of 3.8 per cent in 2016 but low oil prices had thwarted the prediction with a contraction of 2.1 per cent in the second quarter.
The reduced repayments have exacerbated the foreign currency liquidity stress of the banks, as some of these loans were granted in foreign currency.
“We will give them a 45-day window to come forward and register and that will make them eligible for that waiver,” he said.
President Buhari explained that the recession had been brought about by a critical shortage of foreign exchange.
Currie told Bloomberg that OPEC’s meeting in Algeria, scheduled for September 27, when the cartel will discuss a potential freeze with Russia, will not have any notable impact on oil prices, whatever the outcome.
Although Nigeria is unlikely to be unseated as Africa’s largest economy in the long run, “the momentum that took it there in the first place is now long gone.”
Writing in OPEC’s monthly Bulletin, Barkindo said the “skyrocketing of prices” that pushed crude as high as $147 in 2008 was “unsustainable” and probably harmful to the global economy.
Saudi Arabia set itself a goal in late 2014 of maintaining its crude market share amid a glut that prompted a collapse in oil prices, but the imports data compiled by FGE, an energy consultancy, suggest the country’s strategy suffered setbacks in some of its key customer countries last year.