The NBS said in its report on the Nigerian economy on Saturday “Nigeria’s gross domestic product (GDP) recorded a growth rate of –3.62% (year-on-year) in real terms in the third quarter of 2020. Cumulatively, the economy has contracted by -2.48%. While this represents an improvement of 2.48% points over the –6.10% growth rate recorded in the preceding quarter (Q2 2020).
“it also indicates that two consecutive quarters of negative growth have been recorded in 2020.
“Furthermore, growth in Q3 2020 was slower by 5.90% points when compared to the third quarter of 2019 which recorded a real growth rate of 2.28% year on year.”
Although there is no official confirmation that the Nigerian economy has slipped into recession, but with the economy maintaining a second consecutive negative growth after contracting by 3.62 percent in the third quarter, it is right to conclude that that the Nigerian economy has slipped into recession,
This is the second time within the last four years that the Nigerian economy would be slipping into recession. In 2016, the Nigerian economy went into recession.
Nigeria’s Minister of Finance, Budget and National Planning, Mrs. Zainab Ahmed, had warned in August that unless Nigeria achieved a very strong third quarter 2020 economic performance, the country might slide into recession.