RMBN boss, others urge government to address key drivers of economic growth

Economic analysts have expressed optimism that the Nigerian economy would experience a rebound only when required actions are taken to address  issues in the oil industry, currency valuation and infrastructure deficit, adding that these are key drivers of the economy.

The panel of analysts at the Rand Merchant Bank (RMB) Nigeria 3rd Annual Economic Breakfast, under the theme “Navigating Nigeria’s Economic Challenges” was made up of Bismarck Rewane, CEO, Financial Derivatives Company; Christian Wessels, Deputy CEO, TGI Group of Companies; Zeal Akaraiwe , CEO, Graeme Blaque Advisory and Basil Rennias, RMB Structuring Specialist. Mathew Van der Horn, RMB Structuring moderated the panel discussions.

The discussions were centered on the strategic positioning of businesses in the current economic environment and beyond.

Michael Larbie, chief executive officer and regional head West Africa, RMB,  in his opening speech reiterated that the Nigerian economy is going through a challenging period as a result of the impact of the global fall in oil prices, drop in external reserves and resultant constraints in trade activities.

Larbie emphasised the need for appropriate long term policies that encourage economic growth.

Zeal Akaraiwe, CEO Graeme Blaque, Advisory in panel discussion  observed that as an economy Nigeria is in bad shape, caused by the country’s dependence on oil, governmental policy, especially around monetary policy and the dip in foreign reserve.

“We have a major foreign exchange crisis, job crisis, power. For some reasons, we have not agreed as a nation on how to solve the power problem.”

Akaraiwe further urged the government to address the issue of education which is both important and urgent.

Bismarck Rewane on his part observed that three distortions to economic activities in Nigeria are oil, petroleum sector, currency power.

Rewane urged government to have a strategy to deal with the long term adjustment, stressing that once the economy is in equilibrium in terms of oil subsidies, power and currency, we will experience massive growth.

Kelechi Ewuzie