President Bola Tinubu has unveiled an ambitious roadmap aimed at propelling Nigeria’s economy to an unprecedented milestone of $1 trillion.
The comprehensive plan, announced by the Policy Advisory Council, outlines a series of strategic initiatives designed to drive sustainable economic growth and address key challenges hindering Nigeria’s progress.
With a resolute determination to transform the nation’s economic landscape, President Tinubu acknowledged the enormity of the task at hand during the meeting of the National Economic Council (NEC). Addressing the state governors, he emphasized that the responsibility of growing the economy falls upon all who campaigned, danced, and begged for this job.
The Policy Advisory Council, consisting of experts from various sectors, including banking, finance, and politics, has identified a consistent average annual GDP growth rate of seven percent as a vital target for Nigeria’s economic transformation. The roadmap encompasses a comprehensive approach that spans fiscal policy, monetary policies, the capital market, and the industry and trade sectors.
Under the fiscal policy reforms, the government aims to tackle issues such as oil theft and pipeline vandalism while significantly boosting oil and gas production. The plan includes rationalizing selected government assets, restructuring and automating revenue-generating agencies for more efficient tax collection, and optimizing operating expenditure to reduce costs and leakages. Additionally, the policy outlines the impending elimination of the PMS subsidy, which has already come into effect since President Tinubu’s inauguration.
In terms of monetary policies, the roadmap focuses on transitioning towards a transparent and unified foreign exchange rate system. It also aims to resolve the cash shortage situation that impacted the economy in early 2023 due to the naira redesign under the previous administration.
The establishment of a coordinating body for fiscal and monetary policies, along with reforms in the operating model of the Central Bank of Nigeria, will foster stability and facilitate economic growth. The policy also sets ambitious targets for exchange rates, interest rates, and inflation rates.
The capital market plays a crucial role in the roadmap, with the government planning to issue long-term, high-yielding debt securities, such as special purpose bonds. These funds will be allocated to dedicated projects in key sectors like agriculture and industry. Furthermore, the government aims to encourage increased participation of pension funds and insurance companies in the capital market, which will enhance liquidity and drive sustainable economic development.
Recognizing the significance of a business-friendly environment, the roadmap emphasizes regulatory reforms to attract investments and boost the manufacturing sector’s contribution to GDP. Nigeria aspires to become Africa’s most efficient trading nation, increasing the share of non-oil exports in GDP. The goal is to position the country as the top investment destination among the MINT economies, which include Mexico, Indonesia, Nigeria, and Turkey. These reforms will pave the way for job creation, inclusive growth, and a thriving economy.
President Tinubu’s economic vision extends beyond achieving a $1 trillion economy. The Policy Advisory Council has set ambitious targets to uplift the lives of Nigerians. The roadmap aims to lift 100 million people out of poverty, generate over 50 million jobs, and deliver sustained inclusive growth. The government is also committed to reducing the unemployment rate from 33 percent to 17 percent within eight years and creating 7.2 million jobs by 2030.
As Nigeria embarks on this transformative journey, the world eagerly awaits the realization of President Tinubu’s ambitious roadmap. With a comprehensive plan in place and a resolute determination to succeed, Nigeria is poised to unlock its immense potential, attract global investments, and emerge as a thriving economic powerhouse in the coming years.
