The federal government has been advised to develop a framework for achieving an inclusive economic growth that is capable of reducing unemployment and poverty in the country.
The FSDH Merchant Bank Limited gave this advice in its latest report made available to THISDAY. The research and investment firm specifically stressed the need to have monetary, fiscal and structural policies to achieve such objection.
Data from the National Bureau of Statistics (NBS) showed that the country’s real Gross Domestic Product (GDP) in first quarter (Q1) 2013 grew by 6.56 per cent, higher than 6.34 per cent recorded in the corresponding period of 2012, but lower than the growth rate of 6.99 per cent recorded in fourth quarter 2012.
The analysis of the sectoral growth rate in Q1 2013 from the NBS had shown that there was a slowdown in both the oil and non-oil sectors of the economy. A further analysis showed that on a year-on-year basis there was a decline in the rate of growth in the non-oil sub-sector; while the oil sector contracted.
FSDH research noted that the Nigerian economy is one of the fastest growing economies in the world.
“However, this impressive growth rate has not translated to improved welfare for average Nigerians. There is still high unemployment and wide spread poverty in the country, which if not nipped in the bud could create social dislocations and crisis.
“It is important that economic managers in Nigeria develop a framework (monetary, fiscal and structural) for achieving an inclusive economic growth, capable of reducing unemployment and the incidence of poverty,” it added.
According to the NBS report, telecommunication and the post sector recorded the highest real GDP growth rate of 24.53 per cent, followed by the building and construction- 15.66 per cent; Hotel and Restaurant -13.61 per cent; Solid Minerals – 12 per cent; Real Estate -10.06 per cent; business and other Services – 8.63 per cent; manufacturing – 8.41 per cent; Wholesale and Retail Trade – 8.22 per cent; Agriculture- 4.14 per cent; Finance and Insurance -3.61 per cent; others – 5.37 per cent.