×
  • Business - Economy
  • Updated: September 14, 2021

Nigeria Suffers N5.8trn Revenue Shortfall From Non-Oil Exports

Nigeria Suffers N5.8trn Revenue Shortfall From Non-Oil Expor

Nigeria generated a total of N6.5 trillion from non-oil exports from December 2017 to December 2020, according to data from the Nigerian Bureau of Statistics (NBS).

This sum is N5.8 trillion lower than its N12.3 trillion ($30billion) target set by the Federal Government under its zero-oil plan.

In the fourth quarter of 2016, the Nigerian Promotion Council conceived the Zero Oil Plan (a core component of the Federal Government’s Economic Recovery and Growth Plan) to increase the contribution of non-oil exports to Nigeria’s Gross Domestic Product by 20 per cent.

According to the NEPC 2016 annual report, the focus of the plan is to ‘generate at least a minimum of 40 – 50 per cent of Nigeria earnings from non-oil export’.

Among other things, the report disclosed that the plan was expected to grow non-oil foreign exchange to $30billion by 2020.

The $30 billion was to be generated from 11 strategic export products – such as petrochemicals, palm oil, cocoa, soybeans, rubber – with high financial value to replace oil.

The report read, “The Nigerian Export Promotion Council launched the Zero Oil Plan, a medium and long term strategy aimed at diversifying the economy from oil. Zero Oil Plan has become a key component of the Economic Recovery and Growth Plan.

“The focus is to generate at least a minimum of 40 – 50 percent of Nigeria earnings from non-oil export. The plan was presented to different states, development partners and donor agencies and has been widely accepted.

“The overall targets set for the zero oil plan include: to grow non-oil foreign exchange from $2.7billion base to $30billion by 2020.”

A breakdown of non-oil exports during the review period shows that in 2017, non-oil exports contributed N629.9bn or 4.6 percent of the total export of N13.6trillion.

Out of the total export of N18.5trillion recorded in 2018, only N1.9trillion was generated from the export of non-oil products.

In 2019, non-oil exports accounted for N2.5trillion of the total export of N19.2trillion recorded at the end of the year.

For 2020, Nigeria generated N1.4trillion from non-oil exports, which constituted only 11.4 percent of its N12.5trillion worth of export.

Related Topics

Join our Telegram platform to get news update Join Now

0 Comment(s)

See this post in...

Notice

We have selected third parties to use cookies for technical purposes as specified in the Cookie Policy. Use the “Accept All” button to consent or “Customize” button to set your cookie tracking settings