Tag Archives: Economic Growth

IMF forecasts 0.8 per cent economic growth for Nigeria

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The International Monetary Fund (IMF) has given Nigeria’s economic recovery plan a pass mark, commending efforts made by government to reduce vulnerabilities and enhance resilience.

The Fund however, advised the Federal Government to lift remaining foreign exchange restrictions and scrap the multiple exchange rates system.The fund also forecast that the economy would grow 0.8 percent this year. The outlook came in the Washington-based fund’s Article IV consultation, which is a regular assessment of a country’s economy.

While recognising that the Nigerian economy has been negatively impacted by low oil prices and production, it noted that the management strategy, like increasing fuel prices, raising the monetary policy rate, and allowing the exchange rate to depreciate was in line.

According to the IMF, the country’s external current account, which turned into a surplus in 2016, was a result of import compression that has continued to offset falling exports, rather than expanding trade.

The recent Federal Government’s economic blueprint: Economic Recovery and Growth Plan (ERGP), drew the attention of the multilateral institution even as it reiterated that without stronger policies the objectives may not be achieved.

IMF said priority should be given to increasing non-oil revenue- raising Value Added Tax and excise rates, strengthening compliance, and closing loopholes and exemptions.
Meanwhile, the Central Bank of Nigeria has unveiled plans to offer licensed Bureau De Change operators foreign exchange twice weekly, with effect from Monday.

Accordingly, BDC operators are required to fund their accounts with the CBN on Mondays and Wednesdays preceding delivery day of Tuesdays and Thursdays.The amount to each BDC has been increased to $10, 000 weekly from $8, 000.

By this development, BDC operators would now heave a sigh of relief following sharp appreciation of the Naira against major foreign currencies as a result of which speculators have been counting their losses.

In another development, the Accountant-General of the Federation, Alhaji Idris Ahmed has issued a circular extending the tenure of the capital elements of the 2016 budget until May 5, 2017 or the passage of the 2017 budget, whichever is the earliest.

 

Source: The Guardian

ECOWAS must eradicate piracy to enhance economic growth – Peterside.

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The Nigerian Maritime Administration and Safety Agency (NIMASA), has charged member states of the Economic Community of West African States (ECOWAS) to eradicate the scourge of piracy in the sub-region in order to grow the economy.

 

Meanwhile, the Governing Board of the Nigeria Maritime Administration and Safety Agency (NIMASA) has approved the building of new zonal offices and a multi level car park at its head office using a Design, Build and Finance (DBF) model under a Private Finance Initiative (PFI) in its 2017 budget year.

 

The Director General, NIMASA, Dr. Dakuku Peterside, at the delocalised meeting of the Joint Committee on Political Affairs, Peace and Security of the Economic Community of West African States (ECOWAS) Parliament, said that the fight against piracy must be a collective responsibility of member states to be successful.

 

According to him, “The theme of this meeting, Maritime Security and the Fight Against Piracy: The Role of the ECOWAS Parliament in the Implementation of the Integrated Maritime Security Policy of ECOWAS could not have been more timely coming exactly one month after the signing of the Lome Charter on Maritime Security, Safety and Development in Africa by Heads of government in Africa under the auspices of the African Union”.

 

He observed that the adoption of the ECOWAS Integrated Maritime Strategy (EIMS) and the 2012 Yaoundé declaration of the Heads of States and Governments of Central and West African States on Maritime Safety and Security is a clear demonstration of the critical role of the ECOWAS parliament in ensuring safety and security of the sub region’s shipping and maritime transportation including the territorial waters and the seas.

 

The objectives of these two sub-regional instruments are in sync with the goals of the African Integrated Maritime Strategy (AIMS) 2050 which culminated into the signing of a Charter on Maritime security, safety and development in Africa on the 15th October, 2016.

While acknowledging that the ocean provides a unique opportunity to optimize the benefits of the blue economy and to provide special opportunities to tap into the benefits of nature, he urged the participants to engage in sensitizing member countries on a harmonized legal framework that will ensure safe, secure shipping and cleaner oceans in the ECOWAS sub-region.

 

“Our economies are unfortunately tied to the prospects of the ocean; the ocean is the medium for which most of our trade and transactions are conducted, the ocean also provides a unique opportunity for us to optimize the benefits of the blue economy and a special opportunity for us to tap into the benefits of nature,” Peterside observed.

 

However, the Board of NIMASA has given nod to the construction of new office complexes for the Central Zone in Warri, the Eastern Zone in Port Harcourt, Onne Port Office as well as a multi-level car park at the agency’s head office in Lagos.

 

The construction of new office complexes for the zones, according to a statement from its spokesperson, Hajia Lami Tumaka, is in line with the restructuring programme of the agency, which plans to devolve more powers to the operational offices to enhance efficiency, productivity and revenue generation.

 

Currently, the zonal offices are challenged by inadequate office accommodation while there is an urgent need to construct a multi level car park at the agency’s head office in Apapa to ease the parking challenges of staff.

 

Under the DBF model, Tumaka said the Agency will only provide the land for the development, monitor the development to ensure conformity with quality and pay off the cost of construction in three to four years with a markup of six to 12 per cent as cost of fund while the developer will provide funding for the entire project, bear the stress of construction and deliver the project within a maximum period of 12 months.

Promote SMEs for economic growth – Ambode

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Governor Akinwunmi Ambode of Lagos State says Nigeria must channel efforts towards the promotion of Small and Medium Scale Enterprises (SMEs) to boost economic growth.

Ambode, who described SMEs as a goldmine, spoke at the close of the 2016 Lagos International Trade Fair on Sunday.

“To achieve meaningful growth, our diversification effort must be centred on the SMEs. The SMEs have yet to be fully harnessed,” he added.

The governor said his administration was creating an enabling environment to encourage businesses to grow in the state.

He said, “We have stepped up the security apparatus in our state to curb criminality. The protection of all physical, social and economic assets has remained a focal point for the government.

“In order to stem the menace of land grabbers, I recently signed a law which has criminalised the activities of land grabbers with prison terms upon conviction.”

Nike Akande, the President of the Lagos Chamber of Commerce and Industry, organiser of the fair, said, “We will always advocate an environment where businesses can thrive. The private sector has a bigger capacity to create jobs.”

The Lagos State Commissioner for Commerce, Industry and Cooperatives, Rotimi Ogunleye, said the annual trade fair had continued to provide a platform for small businesses to showcase their potential.

Nothing To Show For Economic Growth- Buhari

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President Muhammadu Buhari yesterday lamented that the much celebrated growth recorded in Nigeria’s economy had not improved the lives of Nigerians, particularly the youths who constitute the majority of the country’s population.

The resultant effect of this, he said, was that young Nigerians move from rural to urban areas and from the country to other countries across borders in search of greener pastures.

The president, who made this observation at the commemoration ceremony of the 2015 International Youth Day held in the old banquet hall of the presidential villa, Abuja, assured, however, that his government would place high premium in tackling challenges confronting the youth population.

Buhari said, “It is, however, an issue of serious concern that in Nigeria, so far, economic growth has not translated into commensurate and improved social outcomes, especially for our 60 million young people who make up the majority of the population.

“Consequently, our youth migrate from rural to urban areas and from this country to other countries across borders in search of greener pastures.

“Distinguished ladies and gentlemen and my beloved youth, I want to assure you that the new administration will place high premium in tackling challenges facing the youth sector.”

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