- In its January newsletter, Agusto & Co. harshly criticizes Nigeria’s economic management over the past eight years
- The agency emphasizes the need for a coordinated fiscal policy response to address economic challenges in the country
In its latest monthly newsletter for January, titled “2024: A year of reckoning, turning points, and balancing acts,” rating agency Agusto & Co. has harshly criticized Nigeria’s economic management over the past eight years.
The newsletter looks into various economic indicators such as foreign exchange, inflation, and GDP growth, providing projections for the year ahead.
Highlighting the necessity for a coordinated fiscal policy response to address the country’s economic challenges, Agusto & Co. emphasized the need for improved economic management compared to previous administrations.
The agency stated, “This underscores the importance of a coordinated monetary and fiscal policy response, and we anticipate that a strategic equilibrium between economic policies and external factors will shape the trajectory of the Nigerian economy in 2024. Encouragingly, we do not foresee the Nigerian economy being as poorly managed in the next four years as it has been in the previous eight.”
Regarding food production, Agusto & Co. expressed concern about the discontinuation of intervention finance programs and the prevailing insecurity in the Middle-belt and North-west regions, as well as heightened tensions in the Niger Republic. These factors are anticipated to impact crop production significantly in the current year.
Furthermore, beyond the official announcement of the program’s termination, Governor Yemi Cardoso of the central bank has defended the current policy stance on various occasions.
Agusto & Co. also provided projections for the Naira exchange rate against the USD, foreseeing a convergence at N1100/$ on the official market by the end of 2024. Presently, the exchange rate stands at over N1400/$ on the official market.
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