The naira will depreciate as it had been doing. Going for loans elicits a range of policy options in a developing economy like Nigeria. We have to abide by the terms of our lenders. Continuing our current policy will result in high inflation, low investment and high unemployment.
These short term pains are inevitable. We must pay the price in hunger for not saving for the rainy day. Such a new policy option will be followed by higher investment and a sustained period of low inflation with higher growth.
3. Boost employment
We need the enthronement of a National Full Employment Plan (NAFEP) with special funds to prosecute it. To make it a proper palliative, NAFEP loans should be collateral free, interest-free and used mainly for import substitution enterprises.In these dire circumstances, the Buhari administration must push forth aggressive initiatives.
Recently, the African Development Bank approved $56 billion to scale up industrial development in Nigeria. In the medium term, industrialisation must be the catalyst of the job creation category of the Nigerian development effort. The government must support this effort with a favourable business environment, access to the capital market and competitive entrepreneurship.
4. Nigeria must ensure further cooperation with China
Cooperation with China provides the potential for substantial project financing at low interest rates. The efforts to accelerate the development of our infrastructure throughBuhari’s state visit to China last April are commendable.
A key project is the modernization of the Nigerian Railways. This has the potential of unifying fragmented markets and boosting national cohesion.
5. Government must protect fiscal sustainability at all costs
Even as this might exacerbate external imbalances. Most importantly, Nigeria must execute structural reforms for sustained and inclusive growth.
6. Embark on structural reforms
This should start from the merging of states to reduce expenditure, reduction of staff strength of the civil services of the states and that of the civil service of the federal government. The National Youth Service Corps (NYSC) should be scrapped. It serves no useful purpose in a depression. We can no longer finance it.
The refineries should be sold to leave the Nigerian government with a maximum equity of 30 per cent. Ever heard of a government-owned refinery in the United States? As the global economy continues to deteriorate, the time to accelerate policy responses is now.
Emmanuel Richard Angaye, known for his stage name Era, is a Nigerian based singer and songwritter. He dropped his first single tittled ''APROKO'' . Here comes his latest single, tittled ''DANCE'', Prod by Dj Howlbert OTB.
I bet you, your gonna love this one.
Despite being abundant in human and natural resources, violence and decline in development prevail in the Niger Delta region of Nigeria. In this talk, Eugene Abels invites us to stop pointing fingers at governments, unite and reflect on our history and also, to change our thought patterns, attitudes and habits in order to create the community/nation we want.
A deliberate Change Agent and technocrat committed to international best practices who has in three decades traversed the Real, Banking and Public Sectors of the Nigerian Economy, Eugene Irefa Abels was born, bred and schooled in Port Harcourt, Rivers State, Nigeria. He hails from two oil producing Communities, Nembe and Finima and believes that they are a microcosm of the Niger Delta Region.
An exponent of the need to exorcise our Colonial past from the souls of our public servants and elected officials, he believes the art of governance has been reduced to the single person pronoun ‘I’ whereas ‘we the people’ holds no relevance. An…