Jobless Growth: Tackle Unemployment, Poverty LCCI Tells FG
The Lagos Chamber of Commerce and Industry LCCI, has urged the federal government to tackle the menace of unprecedented unemployment and poverty rates in the country, following the just released 2.4 per cent Q4 2018 and 1.9 per cent full year GDP growth of the country, which has been tagged a ‘jobless growth’.
The data which was released by the National Bureau of Statistics revealed that Q4 2018 GDP numbers grew by 2.4 per cent compared to Q3 2018 growth of 1.8 per cent YoY, mirroring the performance of the non-oil sector which improved by 2.7 per cent YoY.
LCCI in a statement described the full year GDP improvement of 1.9 per cent against 2017 0.8 per cent as a weak and fragile performance, noting that it is far below a three per cent annual population growth and gives cause for concern, considering its wider implications for poverty, inclusive and sustainable growth.
“The growth in the economy is also tagged a “Jobless growth” as unemployment keep on rising. The latest report by poverty world clock also suggests that the number of extremely poor Nigerians has risen to 91.6 million. We suggest that policies and reforms that will attract investment into the key employment elastic sectors should be implemented,” the Chamber advised.
According to LCCI analysis the economy has sustained a growth path. However, the Chamber noted that the growth is still weak, vulnerable and fragile, stressing that it was far below the country’s population growth of 3.0 per cent.
The Chamber noted that economic sectors such as Trade, Manufacturing and Agriculture recording low performances was due to significant weakness on the part of the consumers’ purchasing power.
“The declining performance of the trade sector signifies that Nigerian consumers are still under severe pressure in terms of weak purchasing power, as trade is a major consumer facing sector,” the Chamber said.