The economic crisis was driven by a contraction in the oil sector as well as an inadequate supply of foreign exchange, aggravated by the foreign exchange restrictions. This resulted in cuts in production and significant loss of jobs.
The new administration in Nigeria has announced a bold and comprehensive reform programme. Planned for formally release in mid-February 2017, the reform agenda focuses on macro-economic stability and improving the social welfare of Nigerians.
Key reforms include steps to reduce volatility in foreign exchange, the rationalization of the public sector to cut costs, renewed efforts at enforcing tax compliance, and increasing digitalization.
On agriculture, Nigeria could become the breadbasket of Africa. With agribusiness the second largest contributor to GDP, Nigeria intends to be completely self-sufficient in rice, tomatoes and wheat production. This will also help to take pressure off foreign exchange imbalances.
The outlook for 2017 is for continued economic recovery in Nigeria as the package of reforms takes effect and as fiscal and monetary stimulus boosts growth.