The IMF said in its World Economic Outlook Update in January that Nigeria’s economy would expand more slowly in 2019 than previously predicted against the backdrop of the recent drop in global crude oil prices.
It, therefore, revised down its Gross Domestic Product projection for Nigeria to 2 percent from the 2.3 percent projected in October 2018.
Udoma said the country’s 2019 budget was intended to further reposition the economy on the path of faster, inclusive, diversified and sustainable growth as well as to continue to lift significant numbers of Nigerians out of poverty.
The minister, who spoke at the Deloitte Dialogue on Nigeria’s Economic Outlook for 2019, in Lagos, noted that the country’s inflation rate is expected to trend downwards to single digit of 9.98 percent this year from 11.44 percent as of December 2018.
Quoting a report from TheCable, the Punch newspaper said that Udoma assured that this would be possible with the improved coordination of fiscal and monetary policies, exchange rate stability, improved oil export earnings and capital inflows, as well as the continuation of the current prudent management of foreign exchange reserves by the Central Bank of Nigeria.
“Government is committed to growing the economy, and accordingly the 2019 Budget Proposal, it has been designed to continue to provide the stimulus and support required to spur growth in the economy,” he said.
According to Udoma, although the current real GDP growth performance is still a little sluggish, which is expected as the country is just recovering from the recession, it indicates a positive momentum, especially with regards to the growth of the non-oil sector.
“Our aim is to take all measures necessary to ensure that we increase the growth rate whilst maintaining fiscal sustainability,” he said.