Nigeria’s economy shrinks by 6.1% as pandemic hits hard

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Nigeria’s Gross Domestic Product (GDP) dipped by 6.1% for the second quarter of the year compared to the same period last year.

The country is battling a global coronavirus pandemic that has affected other economies.

The rate of unemployment is also on the rise as many businesses undergo restructuring to stay afloat.

In its latest quarterly figures, Nigeria’s bureau of statistics says the country’s nominal GDP has declined to $88bn (£67bn) – the real GDP, which is adjusted for inflation, is less than half that – $41.1bn.

The bureau says 27.1 million Nigerians are unemployed.

Nigeria is gradually reopening domestic and international economic activities after the Covid-19 lockdowns, but these new figures show the damage has been worse than earlier predicted by the International Monetary Fund (IMF) back in June.

At the time, the IMF predicted a 5.4% contraction of Nigeria’s economy as the pandemic hit both the non-oil and oil sectors.