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Ongoing economic diversification in Nigeria too weak—SBM Intelligence report

A strategic review of economic activities in the last four years of the administration of President Muhammadu Buhari, by SBM Intelligence, has revealed that oil revenue remains the major source of income for the country upon the campaign of the administration in driving diversification.

The Nigerian government has spoken of its plan to diversify its economy, in order to be less dependent on oil but there have been very little results.

The new report released by the group noted that “With most part of the world trying to move away from oil to adopt alternative and renewable energy, Nigeria’s future in the post-oil world looks rather bleak.”

Recall that the latest report of the Nigeria Bureau of Statistics (NBS) showed that “The Nigerian economy is heavily dependent on its oil exports which contributed N3.376tn or 74.45 per cent to Nigeria’s total exports in the first quarter of 2019.

SBM Intelligence bases its reports on data collected over a period of time and in its latest report, titled Energy Revolution and Economic Disruption, made it clear that not much has been achieved by the current government in economic diversification. It also argued that should oil price drop tremendously, the Nigerian economy will run in serious shocks capable of drifting back to recession.