Kale attributed the non-impact of the exit from recession on the citizens to the structure of the economy, which is still largely driven by oil.
He said while the economy might have recorded a growth rate of 0.55 per cent in overall Gross Domestic Product for the second quarter, not all the sectors did well in terms of productivity.
For instance, the NBS boss explained that out of the 42 economic activities that were used to measure the GDP growth rate, 21 recorded decline in productivity, while the rest performed better than they did in the first quarter.
He said the 21 of those economic activities that recorded slowdown in performance were those that ordinary Nigerians relate with on daily basis.
For instance, the NBS boss said while the manufacturing sector grew by 0.64 per cent in the second quarter, there were some segments of the sector that did not do well.
He gave some of them as manufacturing, which contracted by -10.88 per cent; motor vehicle and assembly, which contracted by -19.72 per cent; electrical and electronics, which contracted by -1.7 per cent; and chemical and pharmaceutical products, which declined by -0.98 per cent.
In addition, wood and wood products contracted by -2.09 per cent; pulp, paper and paper products, -1.85 per cent; and cement, -4.16 per cent.
Kale explained, “Recession is not about the price of your goods, not whether unemployment is going up or down, not whether you have quality education, it’s purely your Gross Domestic Product; your outputs of goods and services in the economy are going down.
“And the GDP is an accumulation of 46 different economic activities in Nigeria and the overall number, whether positive or negative, will determine whether you are in recession or out of recession.
No comments: