National newspapers in Nigeria today, September 1, are reporting about Nigeria’s economy officially going into recession as the Gross Domestic Product figures for the 2016 second quarter released by the National Bureau of Statistics showing the nation’s economy now in recession.
Punch newspaper
On the front page of Punch newspaper is the report about the Minister of Finance, Mrs. Kemi Adeosun, who admitted that Nigeria was in its worst possible time with the Gross Domestic Product figures for the 2016 second quarter released by the National Bureau of Statistics showing the nation’s economy now in recession.
The nation’s external reserves fell by 2.86 per cent to $25.45bn on August 29, 2016, the latest report from the Central Bank of Nigeria showed on Wednesday. The foreign exchange reserves stood at $26.2bn at the end of July.
Adeosun said the nation had a long way to go and the government was not deceiving itself that all was rosy.
“It’s the worst possible time for us. Are we confused? Absolutely not,” the minister said.
The Guardian newspaper
Guardian newspaper is also reporting the economic recession story but with anyaisis from experts.
Chairman and Chief Executive Officer of International Energy Services (IES) Limited, Dr. Diran Fawibe, in an interview with The Guardian, said the country had been lying with statistics which negated the real situation in the country. He said Nigeria had been in recession long before it finally admitted to it.
Frontline economist Bismarck Rewane said though the official report came out yesterday, it was long obvious that the country was in recession. “The challenge is that the recession was deeper than we thought,” he said.
Deputy Managing Director of Afrinvest, Victor Ndukauba said the NBS report was expected. “There were no surprises; it was actually expected the GDP would have contracted further than announced based on what was happening in the economy.”
He disagreed that drop in oil revenues plunged Nigeria into recession, saying it had more to do with governance and fiscal policies, especially as there was “lack of spending from the public sector, no dollar inflow, therefore little investment.”
Daily Sun
Daily Sun is also talking about the recession but another big story on its front page is a report that the counsel to Fulani herdsmen in Ekiti State, Mr. Umar Imam has condemned the anti-grazing law signed into law on Monday by Governor Ayodele Fayose.
The herdsmen, through their counsel, said the House of Assembly has no power to charge erring members of the association with terrorism for carrying light weapons.
Imam, acting for the Jamu Nate Fulbe Association of Nigeria, a body of Fulani herdsmen, said herdsmen who carried light weapons like cutlasses, knives, catapult and arrows within the time stipulated by the new law could not be charged with terrorism, adding that the law contradicted the Anti-Terrorism Law as amended in the 1999 Constitution.
The law became effective on Monday following signing into law, a bill tagged: “Prohibition of cattle and other Ruminants Grazing in Ekiti Bill, 2016 which prevented free grazing of cattle in the state and carrying of firearms by members as well restriction of grazing period to between 7.00am and 6.00pm.
The Nation newspaper
Moving to The Nation which is also running with the recession story also reported the All Progressives Congress (APC) National Leader Asiwaju Bola Ahmed Tinubu yesterday urged party members in Ondo State to unite and support the winner of the party’s ticket.
“In Ondo we must close ranks to achieve victory. The future of the state and of the party in the state should never be held ransom to insignificant personal animosities and perceived slights,” he said in a statement.
According to him, after years of misgovernance and suppression of the state’s immense potential, Ondo people have a chance to break those shackles and move themselves toward progress, justice and prosperity, which he said are their due.
Tinubu believes the APC must win the November 26 election to restore democracy and the virtues of public service to the state.
Vanguard newspaper
On the front page of Vanguard newspaper is reporting on the recession with reaction from FBNCapital which said: “There are no major surprises in this release as we expected a contraction in the second quarter of the year.
“Given the macro challenges, steep slide in oil prices, production shortages due to vandalism, foreign exchange sourcing issues in an import dependent country and hike in inflation, the negative reading was a foregone conclusion.
“Technically, given that Nigeria’s GDP has now showed a decline for two consecutive quarters, the economy is in recession. “Although we expect to begin to see signs of recovery as we enter the fourth quarter, there is still a lot of work to do and delays in releasing capital vote could also delay the recovery.
“There is also a risk that revenue collection shortfalls may lead to capital expenditure cuts. Our 2016 GDP growth forecast is -1.2 per cent FBNCapital.”
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