Connect with us

Hi, what are you looking for?

Capital Business
Capital Business
Central Bank of Nigeria

Top Story

Nigeria surpasses South Africa as continent’s biggest economy

 

Central Bank of Nigeria

Central Bank of Nigeria

Nigeria has overtaken South Africa as Africa’s largest economy after a recalculation made by its own statistics office showed a nearly doubled GDP, officials reported on Sunday.

The GDP for 2013 in Africa’s top oil producer totalled 80.3 trillion naira, or $509.9 billion, the Nigeria Bureau of Statistics said, an increase from the 42.3 trillion estimated before the rebasing calculation.

The new figure shrank Nigeria’s debt-to-GDP ratio to 11 percent for 2013, against 19 percent in 2012, statistics chief Yemi Kale told reporters in the capital of Abuja.

Most governments overhaul GDP calculations every few years to reflect changes in output and consumption, but Nigeria had not done so since 1990, so sectors such as e-commerce, and its prolific “Nollywood” film industry had to be newly factored in to give a more accurate picture. The mobile phone industry has also blossomed in Nigeria. In 1990, there were 300,000 landlines. Today, Nigeria has 100 million cell phone users.

Growing attention from foreign investors was forcing Nigeria to more accurately calculate its statistics, including GDP, Kale said, adding that the base year would now be recalibrated every five years, in line with global norms.

Instability still hampers investment

Nigeria, Africa’s most populous country with 170 million people, has been growing as a destination for foreign investors owing to the size of its consumer market and increasingly sophisticated capital markets.

But political risk as Nigeria approaches hotly contested elections in February next year remains a concern, as does a bloody insurgency waged by Islamist sect Boko Haram in the country’s poor and underdeveloped northeast.

President Goodluck Jonathan’s suspension in February of respected central bank chief Lamido Sanusi after he had publicly questioned massive oil revenue leakages from the state oil firm did not impress debt and equity investors, some of whom sold off holdings.

Advertisement. Scroll to continue reading.
Click to comment
Advertisement

More on Capital Business

Executive Lifestyle

NAIROBI, Kenya, Mar 12 – The country’s super wealthy individuals are increasing their holding of bonds, gold and cash, a new report by Knight...

Ask Kirubi

NAIROBI, Kenya, Mar 9 – Businessman and industrialist Dr. Chris Kirubi has urged members of the public to exercise extreme caution when making any...

Ask Kirubi

NAIROBI, Kenya, Mar 24 – Businessman and industrialist Dr. Chris Kirubi is set to own half of Centum Investment Company PLC, following a go-ahead...

Ask Kirubi

It is without a doubt that the COVID-19 pandemic has caught the whole world by surprise. Although its full impact is yet to be...

Headlines

NAIROBI, Kenya, Mar 18 – Commercial Banks have been ordered to provide relief to borrowers on their personal loans, with loans eligible from March...

Kenya

NAIROBI, Kenya, Jun17 – Kenya’s tea leaves manufacturer Kericho Gold, has been awarded the Superbrands Seal by Superbrands East Africa for their quality variety...

Coronavirus

NAIROBI, Kenya, Apr 13 – As the local telecommunications industry gears up to roll out 5G networks in the country, the Communications Authority of...

Coronavirus

NAIROBI, Kenya, Mar 22 – Airtel Kenya is offering free internet access for students in order to enable continued learning at home in the...