15.6 per cent in total assets during the first half of 2021, along with a 6.8 per cent growth in profits during this period. The BoI chairman further noted that total lending to the private sector has also increased annually by 18.5 per cent to N35.73 trillion in December 2021, driven by growth in business activities among FinTech and tech-based companies. He pointed out that there has been a significant growth in the FinTech ecosystem over the recent years, as they continue to facilitate electronic payments, foreign exchange, remittance transactions, blockchain digital currency and other innovative digital financial solutions.
In his address, Dikko also highlighted a range of challenges that would have a significant impact on Nigeria’s economic outlook for this year. “In Nigeria, the year 2022 is critical as it precedes the 2023 elections, it is expected that increased government and political expenditure will fuel excess liquidity in the system, which may adversely impact the inflation rate. In the same vein, the lingering global supply shortage may also impact inflation by weighing on the supply of imported raw materials, thereby affecting output levels,” he said.
According to the BoI chairman, the IMF has revised its economic growth forecast for the West African nation, driven by booming industries, the fossil fuel sector in particular. “The International Monetary Fund has revised upward its growth forecast for the Nigerian economy in 2022 to 3.4 per cent from its earlier projection of 2.7 per cent, citing increasing oil prices as a key factor. Growth is expected from the financial services sectors, manufacturing, trade and construction, travel, entertainment and hospitality subsectors.”
