Fear of a dollar shortage has driven manufacturers to front-load their inventory requirements. Therefore, creating the illusion of economic growth in Nigeria.
This was disclose in the Financial Derivatives recently in Economics Bulletin for Q2 2022.
The Nigerian economy has been expanding for seven straight quarters since the third quarter of 2022. This was when the covid-19-induced recession was first noted.
Manufacturers have front-loaded their inventory needs out of concern of a dollar shortage; which has led to an appearance of economic growth in Nigeria.
Despite the economy’s growth, there has been little progress in lowering unemployment. Their report said.