Nigeria's Finance Minister, Kemi Adeosun has come under heavy criticism following Nigeria's economic recession problems. Yet, she has assured Nigerians that things will get better.
In a recent interview with CNBC, she said the following about Nigeria's economic situation and the president's plans:
Speaking on revenues, Kemi Adeosun said Nigeria’s challenge is not the burden of debt, because our debt to GDP ratio is at a relatively low level of 13%.
She explained that Nigeria's problem is instead low revenues. Therefore the federal government has plans to increase revenue generation.
They plan to do this by: borrowing as cheaply as possible, strengthening our tax collection system and borrowing from external markets.
2. External borrowing
The next step is external borrowing. However Mrs Adeosun makes it clear that the FG is being cautious with its external borrowing.
The Buhari-led government, she said is especially careful to ensure all borrowing is done for the right reasons. for example to fund projects.
3. Economic recession
Minister Adeosun also assures that Nigeria will get out of recession shortly, since the government is on the right track: implementing the right type of policies, improving government revenues and improving the efficiency of government spending.
4. Economic growth
She also asked for patience with Buhari, saying that the seemingly slow pace of Nigeria’s emergence from the recession is on account of the total economic reset being implemented by the Buhari administration.
She said the goal is to encourage sustainable economic development through aggressive investment in power, rail, roads.
5. Capital spending
In conclusion, she said that capital spending will now account for 30% of Nigeria’s budgetary allocation, as against 10% in the past.
Meanwhile, NAIJ.com recently reported that according to Mr Bismarck Rewane, the Chief Executive Officer of the Financial Derivatives Company Limited, the World Economics report of Nigerian economy is a good news for everyone but the government must continue to maintain the current status.
The world economics data suggested on Tuesday, April 18 that the Nigerian economy was out of its recession that had lasted about 10 months.
What though does the Nigerian on the street think? Watch this NAIJ.com video to find out: