PricewaterhouseCoopers (PwC) has disclosed that Nigeria’s Gross Domestic Product (GDP) may hit $1.45 trillion by 2030.
A report released by the agency estimates that at biennial growth rates of 5 and 7 per cent till 2030, Nigeria’s GDP could be $530 billion higher if corruption was reduced to levels comparable to Malaysia.
It also identified the levers to include improving the ease of doing business, enhanced labour productivity and reduction of the overall level of corruption perception.
Specifically, PwC posited that Nigeria should target to improve Ease of Doing Business ranking through a higher Distance to Frontier score of 61 by 2030 (45 in 2015).
It stated that labour productivity currently at $3.61/hour should be improved to $12.05/hour by 2030 while Corruption Perception Index (CPI) score should be improved from 26 in 2015 to 34 by 2030.
“Despite strong economic growth at a CAGR of 5.3 per cent post-rebasing, Nigeria has been plagued with the jobless growth phenomenon as employment growth has only averaged 1.3 per cent. However, growth has not been broad based with persistent incidences of high poverty, unemployment and underemployment.
“Official unemployment rose from 6.0 per cent in 2011 to 8.2 per cent in 2015, with a growing number of youths massively underemployed at 18.3 per cent of the labour force,’’ the report stated.
Advisory partner and chief economist, PwC Nigeria, Dr Andrew S. Nevin said: “This research draws on a more direct and measurable approach to tracking improvement in human development. Using qualitative analysis, academic reviews and country case studies, we identified three critical levers that need to be improved for the average Nigerian to feel the impact of any growth in the economy.”
Progress across the three levers, the report highlights, could result in a significant improvement in Nigeria’s HDI score, thereby attaining a high human development status by 2030.
“Tracking progress across these three levers has the potential to boost the attention on HDI as priority in the public agenda. An analysis of these levers can identify areas requiring policy attention, and specific strategies targeted at improving overall wellbeing can be formulated,” Nevin added.
Recently, Minister of Finance, Mrs. Kemi Adeosun said the present administration was targeting real GDP growth in 2017.