World Bank, IMF Sound Upbeat as Nigerians Sigh on Economy

The World Bank and International Monetary Fund (IMF) believe Nigeria is the place to be with earnings from foreign direct investment (FDI) expected to hit all time high $7.3 billion in 2013.
This is despite general lack-luster performance of President Goodluck Jonathan who rode on popular vote to power
But IMF figures already estimates Nigeria total FDI earnings for 2011 to gross $6.8 billion, with a forecast of $7.3 billion for 2013.
According to the Fund, Nigeria’s economy holds a further brighter forecast of $8.7 billion and $9.6 billion  for 2014 and 2015 respectively.
Experts however are predicating future growth of the economy on infrastructural development, especially in public power supply and rapid road construction.
Much of the country’s vast network of roads is in deplorable state and cause of several accidents annually.
Samir Gadio, of South Africa’s Standard Bank Group, noted at an investor’s conference that Nigeria would need to upgrade infrastructure to attract much needed investment. “For a qualitative shift in FDI to occur, the authorities will need to speed up the implementation of structural reforms.”
Ms. Yvonne Mhango, Renaissance Capital's (Sub-Saharan Africa Economist) said: “Investors will only begin to care once it becomes attractive to invest in those sectors so the government has to do their bit first. Transforming power and agriculture are long-term challenges.”
There is a general consensus among experts that Nigeria could attract more FDI in areas such as agriculture if the government invests effectively in developing the right infrastructure for competitiveness in the sector.
Post independent Nigeria remained a largely agrarian economy and was a leading producer of palm products, cocoa, rubber and groundnuts until the civil war broke in 1967. The post-civil war saw a boom in oil and gas production limiting economic activities to this sector and the subsequent squander-mania experience is every administration.
Makhtar Diop, vice president of the World Bank who visited Nigeria last year said the country was on right track of growth. He noted that poverty indicators had fallen by 46 per cent.
The national bureau of statistics early this year stated that agriculture accounted for about 60 per cent of the nation’s GDP.
FDI interests are also buoyed by global credit rating agencies which see bright economic outlook due to prudent fiscal policies. According to CBN figures, Nigeria’s forex reserves have climbed significantly to about $8 billion.
With the government also pushing a Sovereign Bond Fund which has already being listed by leading New York investment bankers, JP Morgan in its ‘emerging market sovereign bond index,’ the outlook certainly looks shinning.