Recession – (times are hard)
Rana Foroohar, the renowned economist and Financial Times columnist, is of the view that The Global Recession has already started. Her views may seem isolated and extremist to sceptics but the reality is that the global economy is now teetering on the brink of a cyclical downturn.
To most Nigerians, the question is whether the country is adequately prepared or you as an individual have fastened your seatbelts for the Turbulent Times ahead.
Xenophobia – (tit for tat)
Whilst you may likely be distracted by the unfortunate xenophobic tit for tat between South Africa and Nigeria, there remains an underlying threat to macro-economic stability with falling commodity prices.
P&ID – (taking Nigeria to the cleaners)
The price of oil in August was below $60pb and the external reserves are sliding towards $43bn. The last thing Nigeria needs at this time is any threat to its hard-earned reserves especially with the P&ID judgement of $9.6bn against the country. This unfortunate saga in which the country did not receive any value but is being asked to pay billions of dollars is needed just as much as a bullet in the head. The possibility of Nigeria facing a fiscal shock is high if oil prices slide below $55pb.
GDP – (weak numbers)
Q2 GDP data shows growth of 1.94%, which is lower than Q1’s growth of 2.10%. It serves as a wakeup call to policymakers that the economy is in desperate need of a fiscal stimulus.
In this edition of the LBS Breakfast session, Bismarck Rewane and the FDC Think Tank address these economic and political issues and their impact on your business, portfolio and strategy.