…says reversal’ll be detrimental, spell doom for Nigeria
. As Finance Minister assures FG’ll sustain economic policies
The World Bank, again on Thursday, urged the Federal Government not to contemplate reversing the ongoing economic reforms, warning that doing so may result in negative implications for the country.
This is the second time in one week that the World Bank would be taking such tough stance on Nigeria.
The President Bola Tinubu-led administration had from inception introduced certain stringent policies, including the removal of fuel subsidy and abolition of multiple foreign exchange systems, resulting in economic hardships for Nigerians.
But while the Federal Government has consistently defended these policies, many Nigerians have complained about their negative effects on the masses.
Pump price of fuel which was N198 at the time the government of President Bola Tinubu removed subsidy, now sells above N1,000, while naira which traded below N600 for one dollar is now above N1,700 in the parallel market.
World Bank Country Director for Nigeria, Dr. Ndiame Diop, while speaking at the launch of the Nigeria Development Update report in Abuja on Thursday, said while the reforms may bring hardship, they were necessary for Nigeria’s long-term stability.
Diop therefore warned, “Reversing these reforms would be detrimental and would spell doom for Nigeria.”
On his part, Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun, emphasised Federal Government’s commitment to sustaining its reforms.
“Any effort that is not sustained will be a waste. Together with the Governor of the Central Bank of Nigeria and the Minister of Budget and National Planning, we’ve been discussing how to stay on course, tackle inflation and ensure we move in the right direction,” he said.
The Minister further explained that the government’s focus is on reducing inflation while ensuring investments flow into critical sectors such as industry, where jobs can be created, as the country is expecting huge investments in the coming days.
This is the second time in one week that the World Bank would be taking such stance on Nigeria.
Last week, at the 30th Nigerian Economic Summit (NES30) in Abuja, World Bank’s Senior Vice President and Chief Economist, Mr. Indermit Gill, enjoined the Tinubu administration to sustain the ongoing reforms inspite of the hardship confronting Nigerians.
Gill said Nigeria required the next 10 to 15 years to establish itself as a leading economic power, in sub-Saharan Africa and the global stage.
But ActionAid Nigeria Country Director, Andrew Mamedu, kicked against this, describing the World Bank chief’s comment as insulting to the millions of Nigerians living through unprecedented economic hardship.
