Connect with us

News

UN Report: 2024 Could Errand Protracted Period of Low Growth

Published

on

UN Report: 2024 Could Errand Protracted Period of Low Growth

By: Michael Mike

A United Nations flagship economic report has raised an alarm that protracted period of low growth looms large, and could undermine progress on sustainable development.

According to the report released on Friday, weakening global trade, high borrowing costs, elevated public debt, persistently low investment, and mounting geopolitical tensions put global growth at risk.

The global economic growth is projected to slow from an estimated 2.7 per cent in 2023 to 2.4 per cent in 2024, trending below the pre-pandemic growth rate of 3.0 per cent, according to the United Nations World Economic Situation and Prospects (WESP) 2024, launched on Friday.

This latest forecast comes on the heels of global economic performance exceeding expectations in 2023. However, last year’s stronger-than-expected GDP growth masked short-term risks and structural vulnerabilities, according to the report.

The UN’s flagship economic report presents a sombre economic outlook for the near term. Persistently high interest rates, further escalation of conflicts, sluggish international trade, and increasing climate disasters, pose significant challenges to global growth.

The report stated that the prospects of a prolonged period of tighter credit conditions and higher borrowing costs present strong headwinds for a world economy saddled with debt, while in need of more investments to resuscitate growth, fight climate change and accelerate progress towards the Sustainable Development Goals (SDGs).

Reacting to the report, the United Nations Secretary- General, António Guterres, said: “2024 must be the year when we break out of this quagmire. By unlocking big, bold investments we can drive sustainable development and climate action, and put the global economy on a stronger growth path for all,” adding that:
“We must build on the progress made in the past year towards an SDG Stimulus of at least $500 billion per year in affordable long-term financing for investments in sustainable development and climate action.”

The report stated that growth in several large, developed economies, especially the United States, is projected to decelerate in 2024 given high interest rates, slowing consumer spending and weaker labour markets. The short-term growth prospects for many developing countries – particularly in East Asia, Western Asia and Latin America and the Caribbean – are also deteriorating because of tighter financial conditions, shrinking fiscal space and sluggish external demand.

Low-income and vulnerable economies are facing increasing balance-of-payments pressures and debt sustainability risks. Economic prospects for small island developing States, in particular, will be constrained by heavy debt burdens, high interest rates and increasing climate-related vulnerabilities, which threaten to undermine, and in some cases, even reverse gains made on the SDGs, according to the report.

The report further showed that global inflation is projected to decline further, from an estimated 5.7 per cent in 2023 to 3.9 per cent in 2024. Price pressures are, however, still elevated in many countries and any further escalation of geopolitical conflicts risks renewed increases in inflation.

In about a quarter of all developing countries, annual inflation is projected to exceed 10 per cent in 2024, the report highlighted, showing that since January 2021, consumer prices in developing economies have increased by a cumulative 21.1 per cent, significantly eroding the economic gains made following the COVID-19 recovery. Amid supply-side disruptions, conflicts and extreme weather events, local food price inflation remained high in many developing economies, disproportionately affecting the poorest households.

“Persistently high inflation has further set back progress in poverty eradication, with especially severe impacts in the least developed countries,” said United Nations Under- Secretary-General for Economic and Social Affairs, Li Junhua,.

He said: “It is absolutely imperative that we strengthen global cooperation and the multilateral trading system, reform development finance, address debt challenges and scale up climate financing to help vulnerable countries accelerate towards a path of sustainable and inclusive growth.”

According to the report, the global labour markets have seen an uneven recovery from the pandemic crisis. In developed economies, labour markets have remained resilient despite a slowdown in growth. However, in many developing countries, particularly in Western Asia and Africa, key employment indicators, including unemployment rates, are yet to return to pre- pandemic levels. The global gender employment gap remains high, and gender pay gaps not only persist but have even widened in some occupations.
Stronger international cooperation needed to stimulate growth and promote green transition.

It advised that Governments will need to avoid self-defeating fiscal consolidations and expand fiscal support to stimulate growth at a time when global monetary conditions will remain tight, adding that Central banks around the world continue to face difficult trade-offs in striking a balance between inflation, growth and financial stability objectives. Developing country central banks, in particular, will need to deploy a broad range of macroeconomic and macroprudential policy tools to minimize the adverse spillover effects of monetary tightening in developed economies.

Furthermore, the report emphasized that robust and effective global cooperation initiatives are urgently needed to avoid debt crises and provide adequate financing to developing countries. Low-income countries and middle-income countries with vulnerable fiscal situations need debt relief and debt restructuring to avoid a protracted cycle of weak investment, slow growth and high debt-servicing burdens.

It added that in addition, global climate finance must be massively scaled up. Reducing – and eventually eliminating – fossil fuel subsidies, following through on international financing commitments, such as the $100 billion pledge to support developing countries, and promoting technology transfer are critical for strengthening climate action worldwide. It also underscores the ever- increasing role of industrial policies to bolster innovation and productive capacity, build resilience and accelerate a green transition.

UN Report: 2024 Could Errand Protracted Period of Low Growth

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

News

Notorious bandit commander Iliya Mai Rasha killed in Guga battle as death toll among attackers rises

Published

on

Notorious bandit commander Iliya Mai Rasha killed in Guga battle as death toll among attackers rises

By Zagazola Makama

One of the notorious bandit commanders neutralised during Sunday’s fierce gun battle between security forces and armed bandits in Guga Village, Bakori Local Government Area of Katsina State, has been identified as Iliya Mai Rasha, a notorious criminal linked to several deadly attacks in Tsafe Local Government Area of Zamfara State.

Intelligence sources told Zagazola Makama that Mai Rasha was among the senior bandit commanders who joined the assault on Guga at the invitation of notorious kingpin Idi Abasu Aiki.

The sources said the attack, which occurred at about 5:40 p.m. on July 26, involved more than 200 heavily armed bandits drawn from criminal networks operating across Katsina and neighbouring Zamfara State.

However, a combined force of local hunters, the Katsina State Community Watch Corps (KSCWC), and troops of the Nigerian Army’s 17 Brigade mounted a coordinated response, engaging the attackers in a prolonged gun battle that forced them to retreat with heavy losses.

Security sources said more than 40 bandits were neutralised during the encounter, including at least eight senior commanders, while Idi Abasu Aiki reportedly sustained life-threatening gunshot wounds.

The killing of Iliya Mai Rasha is considered a significant operational success, as he had long been linked to violent attacks, kidnappings and other criminal activities in Tsafe and adjoining communities in Zamfara State.

The operation, according to the sources, has dealt a major blow to the criminal network operating across the Katsina–Zamfara axis, with follow-up clearance operations continuing to recover abandoned weapons and pursue fleeing bandits.

Five members of the hunters’ team were, however, killed during the operation after they were caught outside the frontline, highlighting the heavy sacrifice made by local security volunteers in defending their communities. Military authorities and the Katsina State Government have continued to commend the courage of the troops, hunters and community watch personnel who repelled the attack and restored calm to the affected area.

Notorious bandit commander Iliya Mai Rasha killed in Guga battle as death toll among attackers rises

Continue Reading

News

ICPC Pushes Fresh Anti-Corruption Reforms in Health, Education, Warns Against Weak Governance

Published

on

ICPC Pushes Fresh Anti-Corruption Reforms in Health, Education, Warns Against Weak Governance

By: Michael Mike

The Independent Corrupt Practices and Other Related Offences Commission (ICPC) has intensified its preventive anti-corruption campaign, unveiling three follow-up assessment reports that expose lingering governance gaps in Nigeria’s health and education sectors while urging sweeping institutional reforms to strengthen accountability and service delivery.

The reports, presented in Abuja on Monday, reviewed the implementation of earlier anti-corruption recommendations issued to the National Health Insurance Authority (NHIA), the National Primary Health Care Development Agency (NPHCDA), the Universal Basic Education Commission (UBEC) and selected State Universal Basic Education Boards (SUBEBs).

Speaking at the presentation, ICPC Chairman, Dr. Musa Aliyu (SAN), said the exercise underscored the Commission’s growing emphasis on preventing corruption by strengthening institutional systems rather than relying solely on prosecutions.

Aliyu explained that the Commission’s mandate under the Corrupt Practices and Other Related Offences Act empowers it to identify vulnerabilities within public institutions and recommend reforms capable of preventing corruption before it occurs.

He said the follow-up assessments measured the extent to which previous recommendations had been implemented, identified areas of progress, highlighted unresolved weaknesses and proposed further reforms to improve institutional performance.

“The value of system studies and corruption risk assessments lies not merely in producing reports but in implementing their recommendations. Their true impact is measured by improvements in governance, accountability, transparency, operational efficiency and service delivery,” he said.

According to him, the reviews were not designed to apportion blame but to encourage continuous institutional improvement and reinforce accountability across government agencies.

Aliyu noted that the NHIA, NPHCDA and UBEC were selected because of their strategic roles in delivering essential healthcare and education services to millions of Nigerians, stressing that stronger governance in the agencies would help safeguard public funds, improve service delivery and restore public confidence in government institutions.

While acknowledging that the institutions had implemented several recommendations from previous assessments, he maintained that significant reforms were still required.

He commended the leadership of the agencies for the progress recorded and urged them to sustain the reform momentum by implementing outstanding recommendations.

“The fight against corruption cannot be won through enforcement alone. Sustainable success depends on building resilient institutions with transparent systems, robust internal controls, effective oversight mechanisms and a culture of accountability,” Aliyu said.

He reaffirmed the Commission’s commitment to collaborating with Ministries, Departments and Agencies (MDAs), oversight institutions, development partners and civil society organisations to ensure effective implementation and monitoring of the recommendations.

Aliyu also acknowledged the support of the European Union-backed Rule of Law and Anti-Corruption (RoLAC II) Programme and the Centre for Social Justice (CSJ), which partnered with the Commission on the review process.

Earlier, the Lead Director of the Centre for Social Justice (CSJ), Eze Onyekpere, warned that corruption risk assessments would have little impact unless their recommendations translated into measurable institutional reforms.

He explained that the reviews formed part of the European Union-supported Rule of Law and Anti-Corruption Programme II aimed at strengthening Nigeria’s anti-corruption processes at both national and sub-national levels.

Onyekpere identified persistent corruption risks across the health and education sectors, including leakages in health insurance payments, diversion of medicines and vaccines, ghost workers in primary healthcare facilities, fraudulent enrolment practices, procurement irregularities, abandoned school projects and weak oversight of public funds.

He described corruption risk assessments as critical diagnostic tools that enable governments to detect and address systemic weaknesses before they undermine public service delivery.

“Our collective responsibility is to ensure that NHIA resources provide quality healthcare to beneficiaries, that medicines and vaccines reach intended patients, and that UBEC funds translate into better classrooms, improved learning outcomes and a brighter future for Nigerian children,” he said.

Onyekpere advocated wider deployment of digital governance systems, including integrated platforms that would allow citizens to monitor health insurance enrolment, primary healthcare services and education projects in real time.

He also recommended the institutionalisation of end-to-end electronic procurement, stronger whistleblower protection, improved staff welfare and capacity building, enhanced independent oversight mechanisms and greater deployment of technology to reduce human discretion in public administration.

Also speaking, Chairman of the Federal Civil Service Commission, Prof. Tunji Olaopa, said corruption prevention through institutional reforms offers a more sustainable solution than relying exclusively on law enforcement.

He commended the ICPC for prioritising system reviews and integrity plans, noting that transparent governance structures remain the strongest defence against corruption.

Olaopa urged public institutions to embrace technology-driven governance, transparent recruitment, conflict-of-interest declarations, stronger internal audit systems and ethical leadership, while challenging government agencies to move beyond mere compliance and institutionalise continuous reforms that promote prudent management of public resources.

The latest ICPC reports come amid increasing calls for public sector reforms as concerns grow over leakages, inefficiency and weak accountability in critical sectors responsible for healthcare and education delivery across the country.

ICPC Pushes Fresh Anti-Corruption Reforms in Health, Education, Warns Against Weak Governance

Continue Reading

News

ECOWAS Sounds Alarm as 90% of West Africa’s Economy Remains Informal

Published

on

ECOWAS Sounds Alarm as 90% of West Africa’s Economy Remains Informal

…Parliament pushes sweeping reforms to unlock MSMEs, create jobs, tackle insecurity

By: Michael Mike

The Economic Community of West African States (ECOWAS) Parliament has raised concern over the dominance of the informal sector in West Africa, warning that nearly 90 per cent of economic activities and at least 60 per cent of the region’s workforce remain outside the formal economy, a situation lawmakers said is undermining economic growth, job creation and regional competitiveness.

The parliament on Monday called for far-reaching policy reforms to formalise and strengthen Micro, Small and Medium Enterprises (MSMEs), describing the sector as central to achieving economic transformation, reducing poverty and addressing insecurity across the sub-region.

The warning came at the opening of a Joint Committee meeting of the ECOWAS Parliament in Cotonou, Republic of Benin, where lawmakers, policy experts, private sector operators and development partners began deliberations on strategies to integrate millions of informal businesses into the formal economy.

Delivering the opening remarks on behalf of the Joint Committee on Industry and Private Sector, Macroeconomic Policy and Economic Research, Administration, Finance and Budget, and Public Accounts, Co-Chairperson, Hon. Alhagie Darbo said the statistics reflected both the entrepreneurial resilience of West Africans and the failure of existing policies to support business growth.

According to him, while MSMEs remain the backbone of local economies by creating jobs, driving innovation, promoting entrepreneurship, empowering women and youths and facilitating cross-border trade, the overwhelming majority continue to operate informally, preventing them from accessing finance, technology, markets, business support services and legal protection.

“It is estimated that the informal sector accounts for nearly 90 per cent of economic activities and employs not less than 60 per cent of our labour force across member states,” Darbo said.

“While this demonstrates the entrepreneurial spirit of our people, it also highlights the urgent need to create enabling policies that encourage formalisation, improve productivity and integrate MSMEs into regional and continental value chains.”

He stressed that formalising small businesses was no longer just an economic objective but a strategic necessity for poverty reduction, sustainable development and regional integration.

Darbo urged ECOWAS member states to dismantle barriers limiting the growth of MSMEs through harmonised policies, improved access to finance, digital transformation, stronger productive capacity and greater participation in regional value chains under both the ECOWAS Trade Liberalisation Scheme (ETLS) and the African Continental Free Trade Area (AfCFTA).

He noted that the objectives align with ECOWAS Vision 2050, the regional bloc’s long-term development agenda aimed at building a peaceful, prosperous and fully integrated West Africa driven by inclusive economic growth.

Declaring the meeting open, Speaker of the ECOWAS Parliament, Hon. Hadja Memounatou Ibrahima, represented by Second Deputy Speaker Hon. Adjaratou Coulibaly, linked economic empowerment to the region’s growing security challenges.

She argued that expanding opportunities for women and young people through thriving MSMEs would help reduce unemployment and address some of the underlying drivers of insecurity confronting several ECOWAS member states.

According to her, empowering citizens to participate meaningfully in economic activities is one of the most effective long-term strategies for promoting peace and stability in the region.

The committee is expected to produce recommendations for consideration by ECOWAS institutions and member states, with the aim of creating a more business-friendly environment capable of accelerating industrialisation, boosting intra-African trade and making West African economies more globally competitive.

MSMEs account for more than 90 per cent of businesses in many African countries and are recognised as the largest source of employment outside government. Despite their importance, many operate in the informal economy because of burdensome regulations, multiple taxation, inadequate infrastructure, limited access to affordable finance and weak institutional support.

The challenge has become more pressing as ECOWAS intensifies efforts to deepen regional integration through the ECOWAS Trade Liberalisation Scheme and the African Continental Free Trade Area, both of which require competitive and formalised businesses capable of participating in cross-border commerce.

Economic experts have repeatedly argued that bringing more businesses into the formal sector would expand government revenues, improve access to credit, strengthen productivity and position West Africa to compete more effectively in the global economy.

ECOWAS Sounds Alarm as 90% of West Africa’s Economy Remains Informal

Continue Reading

Trending

Verified by MonsterInsights