Unstable crude oil costs have pressured the Worldwide Financial Fund (IMF) to downgrade Nigeria’s financial development forecast for 2025 to three.0 per cent.
In line with the IMF’s April 2025 World Financial Outlook (WEO) report, which was launched on the sidelines of the continuing Spring Conferences of the IMF and the World Financial institution in Washington, DC.
This represents a 0.2 share level discount from the Fund’s earlier projection of three.2 per cent.
In sub-Saharan Africa, the report stated financial development within the sub-region is anticipated to say no barely from 4.0 per cent projected in 2024 to three.8 per cent in 2025, earlier than a doable gradual restoration to 4.2 per cent subsequent yr.
The report stated: “Among the many bigger economies, the expansion forecast for Nigeria is revised downward by 0.2 share level for 2025 and 0.3 share level for 2026, owing to decrease oil costs.”
Additionally, the report downgraded South Africa’s forecast by 0.5 share level for 2025 and 0.3 share level for 2026, a mirrored image of the slowing momentum from what it termed ‘weaker-than-expected 2024 efficiency’.
It hinged the forecast on the deteriorating sentiment because of heightened uncertainty, intensification of protectionist insurance policies, and a deeper slowdown in main economies.
