• Says no more access to easy money by rent seekers
From Juliana Taiwo-Obalonye, Abuja
Minister of Finance and Coordinating Minister of the Economy, Wale Edun, has said after 18 months of significant reforms under President Bola Tinubu, Nigeria is witnessing a transformative shift in its economic landscape.
According to him, while these changes were long overdue and resulted in temporary pain, discomfort, and increased living costs for many citizens, the benefits are now becoming apparent.
He said this at the validation for the Federal Civil Service Policies and Guidelines, by Head of the Civil Service of the Federation, Didi Walson-Jack, commending her for her significant achievements in her first 100 days in office. Edun, highlighted the immediate positive impact of these reforms saying: “The reforms were so long overdue that it caused an element of pain. But the successes and the gains are coming through,” he said.
One notable example of this transformation, he said is the implementation of market-based pricing for Premium Motor Spirit (PMS) and foreign exchange. Edun explained that prior to these reforms, subsidies were costing the country approximately five per cent of its GDP. “If we consider an average GDP of $400 billion, that translates to about $20 billion that could have been allocated to critical sectors such as infrastructure, health, social services, and education,” he stated.
With the removal of these subsidies, he said funds are now flowing back into government coffers, allowing for greater investment in essential public services. Edun pointed out that this shift not only strengthens federal finances but also benefits state and local governments. He further elaborated on the shift in Nigeria’s economic landscape, stating that the new incentive framework has moved away from rent-seeking behaviour associated with subsidies. “The real change is that nobody can wake up with the target of getting access to cheap funding or thriving in an opaque market,” Edun noted. Instead, he said the reforms had encouraged Nigerians to explore legitimate business opportunities under the African Continental Free Trade Agreement (AfCFTA), which opens doors for exports in various sectors.
“The country has changed,” Edun reiterated. “Now there are real opportunities where you can use your background, skills, knowledge, contacts, and energy to succeed in free enterprise while helping to create jobs and reduce poverty.”
He commended Walson-Jack, who presented her transformative agenda, which includes four key documents focused on enhancing civil service operations through reward and recognition, incentives, consequence management, and a monitoring framework. Edun expressed his admiration for Walson-Jack’s proactive approach, stating, “I want to congratulate the head of the civil service for not just achieving 100 days but using that platform as an opportunity to gather you all and put across to you her agenda.”
He emphasized that these documents are essential tools designed to empower civil servants and improve their effectiveness in delivering government services. Edun underscored the critical role that civil servants play in executing President Tinubu’s economic reforms, which are aimed at stabilizing the economy, reducing inflation, and creating jobs.
Earlier, the Head of the Civil Service of the Federation had emphasised the importance of redefining public service delivery in Nigeria.
Walson-Jack introduced four transformative documents aimed at guiding the Federal Civil Service: the Rewards and Recognition Policy, Incentives and Consequence Management Policy, Mentoring Framework, and Protocol on the Use of Federal Government Secretariats. She described these policies as essential tools for embedding excellence and accountability within the service.