From Isaac Anumihe, Abuja
President Bola Tinubu, on Monday, recognised the deep hardships being experienced by Nigerians, emphasising that the nation’s current economic difficulties are not unique but rather a reflection of broader global challenges.
Represented by Vice President Kashim Shettima at the 30th Nigerian Economic Summit Group (NESG) in Abuja, Tinubu highlighted the various economic difficulties the nation has endured over the past few years, stressing that these problems are also being experienced globally.
“Nigeria, like many other nations, has experienced significant economic problems over the past few years. The challenges are both global and domestic, ranging from the COVID-19 pandemic and fluctuating oil prices to internal security issues, inflation, and structural weaknesses in our economy such as over-reliance on oil revenue and lack of economic diversification.” Tinubu added that Nigeria’s growth has been volatile, with heavy dependence on oil revenues, which has made it difficult to create enough jobs to match the country’s rapidly growing population.
The president called for prioritising economic diversification, stating that the current administration, through the Renewed Hope Agenda, has implemented bold reforms aimed at fostering sustainable economic growth and shared prosperity. He emphasized the importance of focusing on sectors such as agriculture, manufacturing, and the digital economy, which can offer inclusive and sustainable growth.
Minister of Budget and Economic Planning, Senator Atiku Bagudu, noted that the gains from these reforms are already yielding increased revenue, enhancing the ability of the government to meet its obligations, including the payment of the new minimum wage. He highlighted the positive impact of reforms on the foreign exchange system and other areas, leading to improved funding for national projects.
Chairman of NESG, Mr. Niyi Yusuf, stated that the removal of fuel subsidies contributed to a trade surplus of N12.1 trillion in the first half of 2024, double that of 2023. However, he expressed concern over macroeconomic instability, with the naira depreciating and inflation remaining high, putting immense pressure on citizens and the economy.
Despite some gains, Yusuf emphasised the urgent need for fiscal reforms to address the country’s significant debt burden, rising poverty levels, and other economic challenges affecting the average Nigerian. He stressed the importance of creating jobs, improving food security, and addressing the cost of living crisis to foster social cohesion and national solidarity.