Investor Presentaiton
GROWTH WEAKENED IN Q1, HAMPERED BY CASH SCARCITY
-
The naira redesign caused a cash crunch, exacerbating the drag caused by external conditions and – mainly -
by other domestic policies
The naira demonetization reduced GDP growth in
manufacturing and services...
...and did not improve either inflation or the FX
parallel market rate premium
Percent
7.5
Naira redesign
7.0
Non-oil, non-agriculture
Percent
23
22
GDP growth
6.5
21
21
6.0
5.5
5.0
Counterfactual
20
19
Inflation
18
4.5
17
4.0
16
3.5
15
3.0
Q1 2022
Q2 2022
Q3 2022
Q4 2022
Q1 2023
Jan-22
Feb-22
Mar-22
Apr-22
May-22
Jun-22
NIGERIA
THE WORLD BANK
IBRD ⚫IDA | WORLD BANK GROUP
Source: NBS, World Bank, FMDQ, and Aboki Rates.
Naira redesign
Percent
90
80
70
70
60
FX premium (rhs)
50
Jul-22
Aug-22
Sep-22
Oct-22
Nov-22
Dec-22
Jan-23
Feb-23
Mar-23
Apr-23
May-23
40
40
30
30
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