• Saturday, June 15, 2024
businessday logo

BusinessDay

Afenifere decries high costs of living, advises FG on measures to take

Tinubu’s one year of significant achievements and notable challenges

Afenifere, the pan-Yoruba socio-political organisation, has advised President Bola Tinubu to take five-pronged approaches to prevent the country from total socio-economic dislocation.

In a statement signed by Jare Ajayi, national publicity secretary of the group, Afenifere said the current economic situation in the country needs far-reaching and deep-rooted steps for it to be ameliorated.

The organisation said Tinubu should seek debt relief from Nigeria’s major creditors.

Afenifere noted that the five steps suggested would have to be pursued simultaneously for the inherent benefits to be harnessed effectively and promptly.

According to the statement, “Another step is to drastically reduce the size of government at all levels. The third is to block areas of leakages of public resources, especially finance. Fourth is to embark on policies or programmes that are capable of engaging millions of unemployed people, old and young, in the country.

“The fifth step is to ensure that security and safety of lives and properties become permanent features in the Nigeria firmament.”

“At the moment, Nigeria’s debt profile is so huge that it is spending about 97 percent of its revenue to service the debts according to many official sources including the Debt Management Office (DMO), federal budget office, ministry of finance and the World Bank.

“It can be recalled that when the World Bank disclosed that Nigeria spent 96.3 per cent of its revenue to service its debt in 2022, the then minister of finance, Zainab Ahmed objected, said it was ‘only’ 80.6 per cent.

Read also: Naira pressure continues on increased demand for dollars

“If a person earns N100 and has to use N80.5 of it to service his or her debts, how would N19.5 be enough to take care of feeding, transport, health, education, care for the family etc.”

Afenifere warned that very soon there may be no more funds for the provision of social services and infrastructure.

To prevent possible social chaos in this respect, the group said Tinubu needs to embark on diplomatic shuttles to get debt forgiveness from its creditors.

Afenifere stressed that there is an urgent need to drastically cut down on the emolument of public officials, especially political office holders, block the holes through which public funds leak and wage a serious war against corrupt officers, in or out of office.

“It is only by doing these three things that those we approach for debt forgiveness would listen to us,” Afenifere stated.

The organisation also tasked the Tinubu administration to resuscitate moribund industries in the country.

“Doing so will create employment, reduce crimes, boost the nation’s economy, strengthen the naira and earn the country foreign exchange. Government should refrain from increasing taxes and fees for now but explore ways of enhancing productivity and reducing pains,” Afenifere added.

The group further commended Tinubu for the decision to review the N8,000 palliative meant to cushion the effect of petrol subsidy removal.