President Bola Tinubu has assured Nigerians that the economy is undergoing necessary reforms and retooling for sustainability under his leadership.
He disclosed this on October 1, 2024, during a nationwide Independence Day broadcast, monitored by Nairametrics.
He stated that if stakeholders do not correct the fiscal misalignments that led to the current economic downturn, Nigeria will face an uncertain future with unimaginable consequences.
Reforms
Tinubu explained that, based on ongoing reforms, the country attracted foreign direct investments worth more than $30 billion in the last year.
He stressed that the administration is committed to free enterprise, allowing free entry and exit in investments while maintaining the sanctity and efficacy of regulatory processes.
He said,
“The economy is undergoing the necessary reforms and retooling to serve us better and more sustainably.
“This principle guides the divestment transactions in our upstream petroleum sector, where we are committed to changing fortunes positively.”
For instance, the president disclosed that the ExxonMobil-Seplat divestment will receive ministerial approval in a matter of days, having been concluded by the regulator, NUPRC, in line with the Petroleum Industry Act (PIA). He added that this was done in the same manner as other qualified divestments approved in the sector.
According to him, this move will create vibrancy and increase oil and gas production, positively impacting the economy.
Other areas of reform he listed included the disciplined approach adopted by the Central Bank in monetary policy management, which has ensured stability and predictability in the foreign exchange market.
“We inherited a reserve of over $33 billion 16 months ago. Since then, we have paid back the inherited forex backlog of $7 billion.
“We have cleared the ways and means debt of over N30 trillion. We have reduced the debt service ratio from 97 percent to 68 percent.
“Despite all these, we have managed to keep our foreign reserves at $37 billion. We continue to meet all our obligations and pay our bills.
“We are moving ahead with our fiscal policy reforms,” he added.
He also noted that to stimulate the country’s productive capacity and create more jobs and prosperity, the Federal Executive Council approved the Economic Stabilization Bills, which will now be transmitted to the National Assembly.
“These transformative bills will make our business environment friendlier, stimulate investment, and reduce the tax burden on businesses and workers once they are passed into law.
“As part of our efforts to re-engineer our political economy, we are resolute in our determination to implement the Supreme Court judgment on the financial autonomy of local governments,” he said.
On energy transition programme, he said government is already expanding the adoption of the Presidential Initiative on Compressed Natural Gas for mass transit with private sector players and was ready to assist the thirty-six States and FCT in acquiring CNG buses for cheaper public transportation.
He assured Nigerians that as residents collectively work to overcome the challenges of the day, he remains mindful of the next generation as he also seeks to galvanize Nigeria’s creative energy towards a better future.
