Special adviser to the President on Economic Matters, Adeyemi Dipeolu, has expressed satisfaction in the progress recorded in the Nigerian economy since it plunged to its more than two-decade low growth in the wake of a significant oil price slide, which reared its head almost at a time the then newly elected President Muhammadu Buhari took reins of control.
Figures from the National Bureau of Statistics (NBS) Tuesday reveal that in the fourth quarter of 2018, Nigeria’s Gross Domestic Product (GDP) grew by 2.38 percent in real terms (year-on-year). This represents an increase of 0.27 percent points when compared with the fourth quarter of 2017, which recorded a growth rate of 2.11 percent
Responding to the NBS report, Laolu Akande, senior special assistant to the President on media and publicity, said, “The 2.38 percent for Q4 2018 show an appreciable improvement in the growth performance of the economy. The figures are encouraging in several respects.”
Meanwhile, in a recent media parley, Dipeolu explained that the current administration, which came into office with three priorities; to improve security, tackle rampant corruption and improve the economy, had recorded success in achieving to a good extent, its economic mandate.
Referencing the difficulties of 2015 and 2016 where the country was faced with a quagmire of difficulties including a rapidly declining exchange rate, deteriorating reserves, increasing inflation and diverging exchange rates, Dipeolu explained that the Economic Recovery and Growth Plan (ERGP) was a good response in addressing the issues, noting with satisfaction the level of consultation across all sector that aided its formulation.
‘’The response was the ERGP, which was developed in an inclusive manner with inputs from state governments, the National Assembly, the private sector, labour, academia and development partners,’’ he said.
He pointed out improvements in vital macroeconomic indicators like economic growth to around 2 percent in 2018, which although “is not enough,” but still was in line with the forecast made by experts; easing inflation rates from a peak of 18.7 percent to around 11.3 percent today; a more robust reserve of over $43 billion with improved capital inflows and trade balance.
“Indeed, the economy remains well on course to grow by 3 percent in 2019, as estimated in the Medium Term Expenditure Framework,” Akande said.
The Special Adviser to the President also explained that MSMEs remain at the fore of all developmental plans as they were critical to the sustenance of the Nigerian economy, hence, MSMEs were direct beneficiaries of various programmes and project of the government including Government Empowerment and Enterprise Programme, which provided interest free credit to table top traders, members of market associations, farmers and artisans.
‘’We are working closely with the private sector through the Quarterly Business Forum, the Nigerian Industrial Policy and Competitiveness Advisory Council, and the MSME Clinics,’’ he said.
Furthermore, Dipeolu highlighted infrastructural development under President Muhammadu Buhari whose commitment to capital projects had been evident in the allocation of funds to road projects, including channelling the proceeds of Sukuk bonds of N200 billion for constructing, repairing and maintaining Federal roads across all 36 states.
Noting the recently signed Roads Infrastructure Tax Credit Scheme and Investments in rail as positives.
With regard to electric capacity, the Special Adviser on Economy noted that efforts are ongoing to increase generation, transmission and distribution of electricity through Innovative solutions like the payment guarantee scheme and off-grid power solutions such as the ‘Energising Education’ and ‘Energising Economies’ schemes.
With the recent trend in the global oil market, Dipeolu explained that government has several key initiatives to promote diversification of the economy including notably the Anchor Borrowers Programme, the Presidential Fertiliser Initiative, the Special Economic Zones, the Family Homes Fund, and Technology hubs.
He also mentioned that social investment has been extensive under the Buhari-led administration with a number of programs including Home Grown Feeding Programme with over 9.3 million children benefiting as well as 93,000 cooks employed; N-Power with half a million graduates on board and over 1.5million beneficiaries of the Government Empowerment and Enterprise Programme (GEEP) which provides interest free loans including MarketMoni, FarmerMoni and TraderMoni to small businesses.
‘’Nigeria’s economic fundamentals are strong and moving in the right direction. Things will continue to get better if we stay the course and deepen our efforts to diversify the economy by working with the private sector in a socially inclusive manner,’’ Dipeolu said.
