Connect with us

Business News

Experts less optimistic about fate of economy 2021

Published

on

__________________________________________ Looking for your dream job? Hold on, your search ends here! Please CLICK HERE to grap every opportunity today. __________________________________________

A cross-session of analysts who have attempted an economic forecast for the year 2021 have lamented that there may be nothing to cheer about yet as current parameters all show a negative trend.

Firing the first salvo, Dr. Muda Yusuf, the Director General of the Lagos Chamber of Commerce and Industry (LCCI) said key sectors of the economy will come up against still competition and would require more concerted efforts on the part of all to tide things over.

“What we are about to see is an economy that is going to be much more competitive  than what it is now and for that to happen, some of the issues that we have always raised about the investment environment  needs to be taken more seriously in 2021,” he said.

Pressed further, the LCCI boss said, the oil and gas sector for instance is in dire need of reform if it must survive going forward.

“The reforms that the government is undertaking the government should also show more commitment to those reforms. They are talking of reforms in the oil and gas sector, but we are not seeing the investment we should see in that sector. We have been in the oil business for over 50 years, if you compare the period we have been in that sector and the amount of investment invested in that sector, you will know that we have not performed well at all.”

Echoing similar sentiments, Muda’s counterpart at the Manufacturers Association of Nigeria (MAN) Dr. Segun Ajayi Kadiri, while noting that there is need to be optimistic in the midst of all the negative indicators, said chief among the concerns for 2021 is the second wave of Covid-19 which is rearing its head.


Read Also: Stakeholders urge Fed Govt to establish Maritime Bank


“As a matter of fact, let me say about one and a half of just only two sectors out of the 10 sectors are able to operate for the most part of 2020. So you can imagine the state we are in. We cannot afford another lockdown in 2021. The government has to do its best to ensure adherence to Covid-19 protocols and how they can manage the economy without shutting it down,” he stressed.

In the view of Chief (Dr.) Kolawole Adewoyin, the National President of Independent Petroleum Marketers Association of Nigeria (IPMAN), the parlous state of the economy including the rising cost of petroleum products is as a result of the nation’s moribund refineries which has led to importation and the attendant cost.

“As at now, it is only the NNPC that is importing fuel and they are given concession in the area of forex. So the major and independent marketers none of them are importing yet because there is no profit.  But there is lot of things government can do to make the sector attractive to investors.  That is our expectation.  The capital we are investing is been dried up by the overhead cost even the little margin we are making is not bankable. Banks are no longer granting us facilities because of the high risk-nature of the business. For instance, a truck we used to buy for N1.8m increased to N2.5m, N3.5m now it’s over N5m to bring a truck load of PMS from the depot. Whereas the cost of PMS has skyrocketed, the margin we are getting remains very infinitesimal. So we’re getting poorer and poorer.”

Trade with Nairabusiness
Looking for your dream job? Hold on, your search ends here! Please CLICK HERE to grap every opportunity today.

I am a student studying computer science. I'm a passionate blogger that loves reading and writing, business minded with solution to complete financial tips. You love business? Stay tuned to Nairabusiness.com

Continue Reading
Click to comment

Please Leave a Reply

Profiles, Interviews & Biography2 weeks ago

Tunde Ednut Biography, Age, Career and Net Worth

Tech4 weeks ago

Just In: You can now buy a Tesla with Bitcoin

Bella Shmurda
Profiles, Interviews & Biography4 weeks ago

Bella Shmurda Biography, Age, Career And Networth

emoji picture apps
Tech1 month ago

Best Emoji Picture Apps For Android & iOS in 2021

Goldomc
Review1 month ago

Goldomc Review | Scam or Legit? 1st read this

Kobobid
Review1 month ago

Kobobid Review | Scam or 100% Legit? Find out!!!!

Efcc
Job Opportunities1 month ago

EFCC Recruitment for 2021/2022 | How to apply for EFCC recruitment

phoenix browser
Tech1 month ago

How to add website/blog to Phoenix browser in 2021

Nairapeeps
Review2 months ago

Nairapeeps Review | Scam or legit? 1st read this

wyzdom noble
Profiles, Interviews & Biography2 months ago

Wyzdom Noble Biography, Age, Career and Net Worth

Review2 months ago

Montek Investment Review | Scam or Legit? Don’t miss this 1

Earnathon
Review2 months ago

Earnathon Review | Scam or legit? Read 1st before you invest

Mydailymula
Review2 months ago

Mydailymula Review | Scam or legit? 1st read this

Moolatask
Review2 months ago

Moolatask Review | Scam Or Legit? 1st read this

Prepxy
Review2 months ago

Prepxy Review | Scam or legit? 1st read this

bank transfer codes in nigeria
Finance2 months ago

All bank transfer codes in Nigeria 2021

Access Bank, GTBank and other banks begin closing customer accounts that have traded cryptocurrency
Blockchain And Crypto News2 months ago

Access Bank, GTBank and other banks begin closing customer accounts that have traded cryptocurrency

Clapper permanently bans QAnon-related content
Tech2 months ago

Clapper permanently bans QAnon-related content

Oil exploration drops by 150 percent in Nigeria
Business News2 months ago

Oil exploration drops by 150 percent in Nigeria

JasEarn
Review2 months ago

JasEarn App Review | Scam or Legit? Read 1st

%d bloggers like this: