The Centre for Democracy and Development, CDD, has pointed out how President Muhammadu Buhari-led Federal Government can improve on its economic policies.
CDD stated that Buhari government needs to increase capital investments and reforms in the power sector, while Nigeria needs to focus on increasing production in the oil sector.
It stated this in an assessment of the effectiveness of government policies and programmes on economic growth and development of Buhari’s government since inception in 2015.
The report signed by Yusuf Shamsudeen, Principal Programmes Officer of CDD reads partly: “The power sector needs both increased capital investment and reforms to deliver the energy necessary to promote rapid growth. At a minimum, DISCOs must be incentivised to both consolidate and re-capitalise.”
For the oil sector, CDD said: “Nigeria can do little about international prices. It must, therefore, focus on increased production and local processing since this sector by itself and through its inter-linkages with many other areas of the economy can contribute to both growth and diversification.”
On diversification, “there have been promising trends of increased production and exportation of agricultural products to the US, EU and Asia, as well as manufactured goods to the
ECOWAS region. These should be nurtured through continuous progress in the areas of exchange rate stability, export incentives and in continued improvements to the ease of doing business.”
Concerning Social Investment Programmes, it said: “The objectives have been wholesome, and the results achieved so far very encouraging. Sustainability requires appropriate institutionalisation and a reliable funding source. In this regard, a dominant, visible institution needs to be established, with proper legal backing and should be funded through taxes on air travel or remittances.
On the critical issue of unemployment, “it is appropriate that both general unemployment and its more harmful components such as youth and graduate unemployment are addressed. The measures deployed so far are positive, but the impact so now is marginal. Much more, on a much bigger scale, must be done. Extending the model of the Nigeria Development Bank, which seeks to leverage the vast resources and reach of commercial and microfinance banks
to support MSMEs, appears to be a viable option.”
