Abuja - The World Bank has urged the Federal Government to strive to raise
its citizens’ per capita income to justify the rebasing of its Gross Domestic
It said that improving on the per capita income in the country would also be
in line with the nation’s new status as the largest economy in Africa and 26th
largest economy in the world.
The bank’s Chief Economist, African Region, Francisco Ferreira, made the
call while briefing newsmen on “Africa’s Pulse” an Economic Outlook Report on
Africa, in Abuja.
“What matters is the per capita and what also matters is how well our
individuals are doing; I think the rebasing is great. At least we have a good
sense of how large the economy is.
“Also, Nigeria is the most populous country in the region and it is
fantastic we have this done.
“But going forward, what matters, and very important to everybody, is
productivity to generate other indicators,’’ Ferreira said.
Commenting on the effect of Nigeria’s new economic rating on South Africa’s
economy, he said that the rating would not pose any challenge to Nigeria’s
Foreign Direct Investment (FDI).
He explained that investors across the globe did not consider GDP statistics
but how profitable the investment would be for them.
“I don’t think South Africa should worry about the recent development; if
they want to worry, they can worry about labour situation, strikes and other
“Those things make South Africa less attractive.
“The fact that Nigeria is largest economy now is nothing South Africa should
worry about,’’ he said.
Also speaking, Punam Chuhan-Pole, the leader of Africa’s Pulse Team,
explained that Nigeria being the largest economy in the region did not mean
that investors could not differentiate countries’ prospects and returns.
“I don’t think that because Nigeria is larger, it means South Africa will
have less in terms of financial flows; it should not be a concern.
“It depends on merits of the country, the policies and prospects and how
investors are viewing that,’’ she said -
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