Africa’s top economy has slid into recession, according to the latest economic figures from Nigeria’s National Bureau of Statistics.
Nigeria’s economy saw negative growth in the first two quarters of the year, causing GDP to decline by 2.06 percent between April and June. Inflation remains at 17.1 percent, an 11 year high.
The country’s economy has been damaged by low oil prices and a weakening currency. Crude oil sales account for 70 percent of government income and rock-bottom prices, alongside Nigeria’s failure to diversify, has hit the economy hard. Attempts to prop up it the economy by devaluing the naira have largely failed, ruining Nigeria’s foreign exchange reserves.
The International Monetary Fund have warned that the economy could contract by 1.8 percent this year, discouraging foreign investment and making it harder for the Nigerian government get the economy back on track.