Although the directional movement of GDP growth in the first quarter of 2017 was in line with market consensus, the magnitude still underperformed expectations.

Nonetheless, the pace of contraction in the economy slowed to -0.52% in Q1’17 through the combined impact of the oil and non-oil sectors.

A breakdown of the GDP numbers shows recovery across board. However, what remains troublesome is the persistent decline in the agriculture sector. The sector slowed to 3.39% in Q1’17 from 4.03% recorded in the previous quarter. This, coupled with the rise in naira illiquidity in the market, could undermine recovery and growth targets.

In the attached bulletin, the FDC Think-Tank discusses its take on growth movements and the outlook for the next quarter.

Do enjoy your read…