Economy In Q1 Of 2024 Grew Faster Than Q1 Of 2023 – Wale Edun

Nigeria’s Finance Minister and Coordinator of the Economy, Wale Edun, has said the country’s economy grew faster in the first quarter (Q1) of 2024 than in the first quarter (Q1) of 2023.

Wale Edun said this on Thursday while addressing a press conference on the State of the Economy in Abuja.

He said the growth recorded in the first quarter of 2024 was also the second to the fastest in the last six years.

“The economic activity in the first quarter of 2024 was not only faster than the first quarter of 2023, but it was also the second fastest first-quarter growth in the last six years,” the Minister of Finance said.

Edun said that the economic growth was broad-based across several sectors, including agriculture, and industries.

“The agricultural sector recovered from a negative position in the first quarter of 2023 to a modest growth in the first quarter of 2024. The industrial sector also grew seven times faster in the first quarter of 2024 than in the first quarter of 2023,” he added.

On the revenue side, the Coordinating Minister of the Economy explained that aggregate federal government revenue in the first half of 2024 was more than double of the corresponding period in 2023.

According to the Minister, the growth in government revenue was due to the reconfiguration and improvement in government finances, with oil revenue as a percentage of gross revenue increasing from 11 percent in the first half of 2023 to 30 percent in the first half of 2024.

He added that Nigeria has been able to meet all her debt obligations. He explained that Nigeria’s dollar term has reduced and the government’s fiscal deficit has improved.

“The government’s determination to mobilize non-oil revenue has consistently delivered impressive results. For the half-year 2024, non-oil revenue not only surpassed the revenue in the first half of 2023 but was also 30 percent above the 2024 budget target without any increases in taxes.”

“Our debt has fallen in dollar terms from $108 billion to $91 billion. Additionally, the government has diligently serviced all its loans and obligations with no recourse to ways and means of financing. The government has met all its obligations,” Edun said.

Speaking on high cost of living and economic hardship, the Minister said several initiatives and interventions – including Compressed Natural Gas (CNG) fuel for mass transit vehicles and providing lower-cost financing for the manufacturing industry and production – were efforts by the federal government to address the challenges.

He explained that the Central Bank of Nigeria (CBN) interest rate policy was a proactive policy to address the high cost of living in the country.

Edun said: “Clearly, as part of the reform program, on the monetary side, monetary policy has been tightened. CBN has been proactive in adjusting the monetary policy rate to address inflation head-on, which is in line with its legal mandate.”