Following the aftermath of the #EndBadGovernance protests that rocked the country in the first week of August, the federal government is now accelerating its efforts to ensure that policy changes have a positive and meaningful impact on the people’s welfare.
This observation was made on Thursday, by the Chief Executive Officer of Financial Derivatives Company (FDC), Mr. Bismarck Rewane, in his monthly presentation at the LBS Breakfast Session titled, “Cost of Living Protest: Was It Politically Motivated or Hunger Induced?”
Rewane identified the federal government’s stimulus package, minimum wage, stabilisation measures and duty waiver on staples among the short-term measures that could ameliorate the harshness of the high cost of living in the country.
He observed that the impact of import duty waiver on essential commodities would definitely taper prices and have a knock-on effect on the costs of production, adding that the Naira has steadied in the forex market and is beginning to appreciate marginally.
Rewane explained: “The APC-led government faced a baptism of fire. As predicted, the faltering economy is the underbelly of the party. The leadership (of APC) has now come to terms with reality and is responding positively.
“The true position is now being laid bare. Economic data is now being released more frequently with greater integrity. Conciliatory moves are being made across the aisle.”
He said that the recent National Council of State meeting and the Patriot Group visit to President Bola Ahmed Tinubu were evidence that the government was reaching out and deepening its consultations with relevant stakeholders.
He added: “The good news is that damage control is beginning to work and there is a strong possibility of leadership changes at the management level.”
The economist described the high cost of living as, “a situation in which the cost of everyday essentials like groceries and bills are rising faster than average household incomes.”
He added that high cost of living in Nigeria also has a complex impact on Nigerian companies by affecting their cost structures, top and bottom-line growth, investment plans, work force management as well as operating margins.
He identified, “high operating costs, reduced investment and innovation impacting business expansion, the decline in consumer spending due to low disposable income, lower demand fueled by higher prices” as ways the high cost of living affect businesses.
He attributed the potency of the current social crisis in Nigeria to economic hardship that is driven by multidimensional poverty, trust deficit, and credibility gap, adding that the government implemented “policy change without institutional reform” and curbing the “profligacy and lavish living by the government officials.”
The CEO of FDC advised the government to add institutional reform, synchronisation of its economic development plan and press the reset button to its short-term responses to reduce costs of governance and ensure equal sacrifice and sharing of burden among the citizenry.
He also averred that, “reliance on IMF policies has been associated with increased economic hardship for the lower-income segments of society.”
He traced Nigeria’s implementation of IMF policies to the 1980s when the country faced significant economic challenges, leading to the adoption of IMF-backed Structural Adjustment Programs (SAP) aimed at currency devaluation, reduction of government spending, and liberalisation of trade.
“However, these measures were often met with public resistance due to their adverse social impacts, including increased poverty and unemployment.
‘The Fund advised Nigeria to manage its debt by implementing economic reforms as part of the assistance agreements. But the reliance on IMF policies has been associated with increased economic hardship for the lower-income segments of society.”
Dike Onwuamaeze
Follow us on:
Trump is considering Kevin Warsh for Treasury Secretary, with a future possibility of him becoming…
Hyundai has recalled 145,235 electrified vehicles in the US. due to potential loss of drive…
AGN president Rollas has stressed the need for actor licensing to ensure fair compensation and…
EU regulators has closed a four-year investigation into Apple's App Store rules after the complainant…
IPOB distanced itself from Simon Ekpa, calling him a “destructive agent” who infiltrated and destabilised…
Biden has condemned ICC's arrest warrants for Netanyahu and Gallant, calling them "outrageous" amid global…
View Comments
AnnouncementsIMPOUNDED VEHICLES & BAGS OF RICE & OIL THEIR AUCTION PRICES:- A BAG 19,000 OIL 13,000 CALL FOR MORE DETAILS (O8O__6739__9O9O )
GOIF2 ₦150,000
GOIF3 ₦250,000
GOIF4 ₦400,000.
Toyota Camry tiny light ₦600,000
Toyota Corolla ₦950,000
Toyota Camry muscle 1M
Toyota 4Runner ₦950,000
Toyota Avalon ₦900,000
Toyota Highlander ₦1.5M
Toyota Matrix ₦750,000
Toyota Rav4 ₦900,000
Toyota Sequoia ₦1M
Toyota Tacoma ₦1.5M
Toyota Tundra ₦1.8M
Toyota Yaris ₦650,000
Honda Baby Boy ₦450,000
Honda Accord EOD ₦500,000
Honda City ₦700,000
Honda Crosstour 2.5M
Honda CR-V ₦900,000.
Honda Odyssey ₦950,000
Honda Pilot ₦1.5M
Lexus RX300 ₦800,000
Lexus RX330 ₦1M
Lexus RX350 ₦1.5M
Land Rover Discovery ₦2.5M
Land Rover Freelander ₦3.3M
Land Range Rover Sport ₦3M
Acura MDX ₦2M
Audi A4 ₦750,000
Audi A6 ₦800,000
BMW 3-Series ₦950,000
BMW 5-Series ₦1.2M
BMW X5 ₦1.5M
BMW X6 ₦1. 8M
Infiniti FX35 ₦1.1M
Infiniti FX45 ₦950,000
Infiniti QX4 ₦1.3m
Mazda 626 ₦800,000
Mazda MPV ₦840,000
Mercedes-Benz C-Class ₦850,000
Mercedes-Benz E-Class ₦900,000
Mercedes-Benz GLK ₦2.5 m
Mercedes-Benz ML320 ₦1.1 m
Mercedes-Benz ML350 ₦1.6M
Nissan Altima ₦620,000
Nissan Armanda ₦1.5M
Nissan Maxima ₦950,000.etc.
NOTICE: WE SALES AND DELIVER TO ALL 36 STATES IN NIGERIA
NOTE: THEY MUST BE CLEARED PROPERLY BECAUSE OF THE PAPERS BEFORE DELIVERY. DON'T BUY A VEHICLE WITHOUT PAPERS. (O8O__6739__9O9O )
THANKS FOR PATRONIZING WITH US..
Bags of cement #3,500
Delivery cost is #1,000