Nigeria Facing Economic Hardships: Presidency Clarifies Tinubu’s Policies

The Office of the Presidency has firmly stated that Nigeria was already facing economic challenges prior to President Bola Tinubu assuming office. Mr. Onanuga, the President’s Special Adviser on Information and Strategy, underscored the pre-existing difficulties in the country before Mr. Tinubu’s inauguration, emphasizing that the economic issues cannot be solely attributed to the new policies.

The adviser highlighted that in June 2023, the budget deficit amounted to N10.8 trillion, and the actual debt service exceeded the projected figures. Furthermore, he noted the slow inflow into the country’s foreign reserve, resulting in Nigeria’s inability to remit approximately $800 million in funds from foreign airlines. These circumstances served as significant indicators of the country’s economic challenges prior to the current administration coming into power.

In response to this situation, President Tinubu has initiated bold reforms, including the removal of fuel subsidy and the consolidation of foreign exchange rates, despite the expected temporary hardships caused by these changes. The presidency has assured that proactive measures will continue to be taken with the expectation of positive outcomes in the coming year.

Furthermore, Mr. Onanuga highlighted some positive developments in the country’s economic landscape. He cited a report from the National Bureau of Statistics (NBS), noting a 2.54% GDP growth in the third quarter of 2023, marking an improvement from the previous year. Specifically, the service sector and certain industries exhibited growth, and the oil sector reported a significant positive change in its contribution to the GDP. Additionally, trade volume and export values have shown notable improvements, indicating positive economic progress.

The presidential adviser also emphasized the president’s dedication to steering the economy towards growth, development, and prosperity. He underscored the importance of the ongoing efforts to address the economic challenges and create a conducive environment for sustainable economic growth.

In conclusion, the clarification from the presidency offers important insights into the complexities of Nigeria’s economic situation. It underscores the necessity for comprehensive measures to tackle the country’s economic hardships and emphasizes the administration’s commitment to implementing reforms that will lead to long-term economic stability and growth.