Coronavirus, oil fall threaten Nigeria’s economy – IMF

The International Monetary (IMF) has said that Nigeria’s economy is being threatened by the twin shocks of the COVID-19 pandemic and the associated sharp fall in international oil prices.

According to the Fund, Nigeria’s government has, thus, applied to the Bretton Wood Institution for financing through the IMF's Rapid Financing Instrument (RFI).

This emergency financing would allow the government of Nigeria, to address additional and urgent balance of payment needs and support policies that would make it possible to direct funds for priority health expenditures and protect the most vulnerable people and firms.

“We are working hard to respond to this request so that a proposal can be considered by the IMF’s Executive Board as soon as possible”, a statement from the IMF revealed.

It, however, stated that President Buhari’s administration is taking a number of measures aimed at containing the spread of the virus and its impact.

These include swiftly releasing contingency funds to Nigeria’s Center for Disease Control and working on an economic stimulus package that will help provide relief for households and businesses impacted by the downturn.

A number of African countries including, Ghana, Togo and Sierra Leone have applied to the IMF for financing support in the wake of the COVID-19 outbreak.