Economy May Rebound From June, Says Bank Chief | Independent Newspapers Limited
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Economy May Rebound From June, Says Bank Chief

Posted: May 18, 2015 at 12:40 am   /   by   /   comments (0)

By Bamidele Ogunwusi



It has been predicted that the nation’s economy will experience a rebound from the second half of the year. This boosted by the rise in the price of crude oil that would be averaging $76 per barrel.

Managing Director and Head of Africa Macro, Global Research, Standard Chartered Bank, Razia Khan, made the prediction during a media interactive session with journalists on Nigerian economy, with focus on possible measures the incoming administration may adopt in tackling current economic challenges.

According to Khan, the indication is high that the price of the commodity in the international market would record an upward trend, with some overshooting in fiscal projections for Nigeria in the second half of the year.

Her words: “We see oil prices averaging $76 per barrel over the course of this year and we think that this means that by the second half of the year, there is a likely hold that oil prices would be $80 to $90 per barrel”.

“But that would only be short-lived. We shouldn’t discount the fact that this is a very deliberate strategy on the part of Saudi Arabia in particular, to move away from the price targeting”, she added.

“So, for countries like Nigeria, the important take away is that we have moved away from that world of triple digit oil prices and what we would see, going forward,  is more like double digits oil prices scenario”.