UNEMPLOYMENT RATE EXPECTED TO HIT 30% AMID THE EFFECT OF COVID-19 ON THE ECONOMY

 The Nigeria Economic Alert provides an analyses of the latest unemployment figures from the national Bureau of Statistics.

According to the NBS labour Force Survey, Nigeria's Unemployment rate was 27% in Q2'20 - 4% point higher than the 23% reported in Q£'18. this is the First time in six quarters that the country's unemployment data has been published. by the Survey, the Unemployment rate was 29% which is higher than the 20% recorded in Q2'18. when Combined, 52% of the Labour is either without jobs or working below their potential.

Some of the factors that Account for the Rise in unemployment and underemployment include:

• low level of industrialization in the Economy
• Slow Economic Growth
• Low employability and Quality of the Labour Force
• slow Implementation of the National Labour Policy
• Lack of Coordinating Labour Policies at the subnational Level

in the alert, our economist estimate that unemployment could reach 28% im Q3'20 and 30% by Q4'20 based on our internal models.

Download and read the PWC Nigeria Economic Alert