It’s not yet 100% certain that we will end up in a global economic recession. However, investors are beyond spooked seeing how financial markets and companies are reacting.
One of our recent stories showed how tech layoffs are getting close to pandemic levels, with companies like Peloton and Better.com letting go of thousands of employees. The rationale is simple—the threat of a recession means revenue growth is slowing down, and tech companies need to cut down costs to survive.
While the global economy braces for an economic downturn, the oil and gas sector is soaring thanks to high oil prices. Companies like Shell and Exxon Mobil recorded $9 billion in Q1 2022 profits, tripling their earnings from Q1 2021.
Seplat, a Nigerian indigenous oil and gas company, is an investor favourite thanks to solid fundamentals such as its financial performance, corporate governance and innovative adaptability.
However, Seplat is still a company operating in Nigeria’s turbulent oil and gas sector. While it might be easier for Seplat to navigate Nigeria’s hard business terrain, it is not immune to the challenges.
But while the digital economy is bracing for an economic slowdown, the oil and gas sector is booming.