The IMF has urged the Nigerian government to implement targeted social interventions due to substantial economic challenges. Discussions between Gita Gopinath and Finance Minister Wale Edun focused on improving social support and encouraging private sector investment. Efforts include reforms in taxation, the energy sector, and increasing oil production, aimed at strengthening economic stability.
The International Monetary Fund (IMF) has recognized Nigeria’s ongoing economic challenges and emphasized the necessity for the Federal Government to implement targeted social interventions. During a meeting in Abuja, IMF First Deputy Managing Director Gita Gopinath conveyed these recommendations to the Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun.
Gopinath highlighted that discussions centered on Nigeria’s economic outlook and strategies to alleviate the high cost of living, particularly through expedited social support measures. The IMF remains committed to aiding Nigeria in developing sustainable economic policies.
Minister Edun provided insights into Nigeria’s initiatives to bolster social investment programs, mentioning the transition to a biometric-based, transparent system aimed at enhancing efficiency and accountability. Additionally, he discussed tax reforms and digitalization efforts to improve domestic resource mobilization.
The minister also reported an increase in crude oil production from 1.2 million to between 1.7 and 1.8 million barrels per day, which has positively affected national revenue. He underscored the significance of private sector investments in fostering economic growth, particularly through policies supporting renewable energy expansion and service exports.
Edun advocated for crucial reforms in the electricity sector, especially concerning expanded metering to promote efficiency. On a global scale, the discussions addressed Nigeria’s role in international financial policy and the pursuit of enhanced credit ratings for African economies.
Finally, Edun emphasized that improving fiscal data transparency could bolster Nigeria’s credit profile, thereby attracting more investors and reducing borrowing costs.
In conclusion, the IMF has urged Nigeria to adopt targeted social interventions in light of its current economic difficulties. Minister Edun’s efforts to implement reforms in key sectors, enhance transparency, and engage with the private sector are crucial steps towards sustainable economic improvement and increased revenue. Such measures could potentially enhance Nigeria’s credit standing in the international arena.
Original Source: www.thisdaylive.com
