Nigeria and South Africa could soon get out of recession due to a slight increase in prices of base products started in the beginning of 2016.

The rainbow nation’s economy indeed grew by 2.3% during the second quarter of 2017 (against the first), according to a survey of Reuters, while the gross domestic product (GDP) of Nigeria, Africa’s leading oil producer, grew by 1.3% compared to 2016, after decreasing for five consecutive quarters.

Indeed, Nigeria owes the improvement to a boost in its oil and agricultural productions as well as a burst in its foreign exchange reserves, which should sustain its economic growth.

In South Africa, retail commerce, manufacturing industry and agricultural production which restarted after droughts, should spur the growth of the GDP.

Regardless of the positive expectations, the two countries still have to overcome a major challenge which is the lack of investors’ trust. This is key to sustaining the current up trend.

Fiacre E. Kakpo