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What Nigeria’s GDP rebasing means to entrepreneurs

The GDP rebasing by the National Bureau of Statistics (NBS) which rates Nigeria’s economy as the largest in Africa is still generating controversy and mixed reactions from the general public as well as stakeholders.

Some are of the opinion that the import and impact of the GDP rebasing can be better appreciated when it improves the nation’s economy and the standard of living of average Nigerians.

Entrepreneurs ENCOMIUM Weekly spoke with on the landmark development also canvassed similar view when we asked them their take on the GDP rebasing…

SEMIU ADEWUNMI, Property Kleaners

Semiu Adewunmi
Semiu Adewunmi

I hope the rebasing of Nigeria’s GDP and the claim that we are the biggest economy in Africa will not end up a deceit to Nigerians. Because over the years the government seems to give credit to itself for providing suitable environment for investors to come into the country, but with the security situation in Nigeria no serious investor would want to come and invest in Nigeria. So, where is the figure coming from. There is poverty in the land and we are rejoicing that Nigeria’s economy is the biggest in Africa.

Businesses can only thrive in an environment that has basic infrastructure in place, good roads, water and the likes. So I don’t see where my business will benefit from the new GDP rebasing.

BIOLA ADEBAJO, Evergreen Events

Biola Adebajo
Biola Adebajo

I will say it is a good thing if well managed. Actually, it is normal for countries to rebase their GDP maybe in three or four years. Although, for almost 30 years, we have not rebased ours.  Meanwhile, the basic reason for rebasing the GDP is because some of the dynamics of the economy have changed.

Consequently, we now have a GDP of $510 billion as opposed to the previous $200 billion. This is really what has propelled the Nigerian economy to number one in Africa, ahead of South Africa, Egypt, Nigeria and Angola.

GEJ’s administration has been celebrating Nigeria’s new GDP, is the celebration worth it? The impact of this whole system on my business is what’s important. But unfortunately, it does not change anything for the ordinary people. There is nothing for us to celebrate because we will not have more money in our pockets, unemployed will not get employed, it doesn’t mean we will not continue to depend on our generators and spend all the money on fuel. I only hope that in the long run, this will give our government and the private sector a more reliable data to plan so that it will affect the ordinary citizen.

Ogbunbekun Tunmise
Ogbunbekun Tunmise

OGUNBEKUN TUNMISE, X5 Media Concepts

GDP rebasing or debasing? Very interesting! They should tell that to the uneducated. As for me, I know the true state of things. From 1990 to 2010, people have become poor and impoverished, not richer as the new index suggests. It is good it was rebased, but it doesn’t mean we are better off, we are worse off.

 

Lanre Babalola
Lanre Babalola

OLANREWAJU BABALOLA

Though GDP is about increased transactions in the economy. This is current in Nigeria because you see poor people with two phones and managing them, buying clothes and going to parties. That is what has improved.

However, the human index for standard of living is still very poor. The same poor people cannot boast of better education, good health services, even power supply. There is need for recapitalization of my business as a producer. The increase in GDP has given me insight to gain in this economy if truly the situation is correct.

Lawrence Onwukwem
Lawrence Onwukwem

LAWRENCE ONWUKWEM, Lawrence & Company Limited

Rebasing like what the National Bureau of Statistics said does not change what was already there. It is just about measuring better and more accurately. It does not mean that within 24 hours something miraculous has happened. The rebasing rather provides government with a more accurate view of all levers they can pull to drive growth and how far we have moved beyond oil, like former UBA GMD/CEO, Mr. Tony Elumelu said.

Having said this, it must be appreciated that being Africa’s largest economy should necessarily impact on our business and overall economic rating.

 Omotoye Charles
Omotoye Charles

OMOTOYE CHARLES, Pivot Communications

Measuring the nation’s GDP using a more modern platform. There should be a mechanism whereby the result of the GDP growth should reflect in businesses. Government should support small scale businesses, with that the effect of the rebasing would be felt by entrepreneurs.

 

Segun Amusan
Segun Amusan

SEGUN AMUSAN

The GDP rebasing is basically a propaganda. It is a gimmick to distract focused entrepreneurs. Show me the growth in our economy when prices of commodities are increasing daily. This is what we experience every now and then.

I would not want to be distracted by any rebasing. I will rather stick to my realistic rebasing in business than depend on what could not kill my effort.

 

Kevin Luciano
Kevin Luciano

KEVIN LUCIANO-GABRIEL, Questionmark Entertainment

Rebasing of the GDP means replacing the old base year used for compiling the price estimates to a new and more recent and reliable base year.

Technically speaking, it serves to reconcile the different estimates of GDP and parades the occasion for methodological and conceptual reviews and improvements over the years. It is a good development, especially when it has revealed the size of our economy as the biggest in Africa.

It is only time that would tell how this will improve our business and standard of living.

Larry Owojori
Larry Owojori

LARRY OWOJORI

I think GDP rebasing is about reconciling the previous economic performance with the present one through the country’s Gross Domestic Product. I think Nigeria has improved upon the performance of over twenty years back. But the truth is that if that’s the case, I think every individual should have been feeling its impact. There is nothing to show for it at all. As of now, its effect has not been felt in my own business but I believe if the government in power is sincere about it, we will soon have a big relieve, and things will move forward generally in the country.

Sharon George
Sharon George

SHARON GEORGE, Olaedo

It is the total market value of all final goods and services produced in a country within a given year. I don’t really expect much from the structure. I don’t think the effect will reflect in the fashion industry.

 

 

Demola Adunola
Demola Adunola

DEMOLA ADUNOLA

GDP rebasing is a welcomed idea in an upcoming economy. It’s also good to hear that Nigeria is the biggest economy in Africa. It’s good if it will be well managed. However, that rating has not shown any positive impact in our business. But with time, things may improve.

Encomium

Written by Encomium

A media, tech and events company.

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