President Tinubu informs the IMF Chief about the progress of Nigeria’s reforms, highlighting early signs of positive economic impact.
President Bola Tinubu stated that Nigerians are beginning to experience the benefits of his administration’s reforms.
Since taking office in May 2023, Tinubu has eliminated the subsidy on petroleum products and allowed the naira to float. These actions have exacerbated inflation, causing increased hardship for the public.
While hosting Kristalina Georgieva, the Managing Director of the International Monetary Fund (IMF), during the G20 Leaders’ Summit in Rio de Janeiro, Brazil, Tinubu assured that his administration will remain committed to prioritizing the welfare of the poor and most vulnerable as economic reforms begin to show positive results.
Tinubu, as quoted in a statement by presidential spokesman Bayo Onanuga on Thursday, noted that although Nigerians now recognize the necessity of the reforms due to the positive outcomes they’ve begun to produce, there is also a need to alleviate the hardship caused by their implementation.
He recognized that the reforms had reduced Nigerians’ purchasing power, but stated that his government would persist in offering social safety nets to mitigate the unintended consequences.
The Nigerian leader also highlighted the vital importance of access to education, underscoring that significant resources should be allocated to drive essential infrastructural development in the country.
Tinubu also mentioned that Nigeria is in the process of implementing tax reforms to boost economic growth.
He informed the IMF chief, “There are too many children not attending school, and we understand that education is a key solution to overcoming hunger and poverty. This is why we’re developing methods and incentives to ensure these children remain in school; your support for those eager to continue their education would be invaluable.”
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He stated, “We are working with stakeholders and raising awareness among Nigerians to broaden the economy’s tax base for inclusive development. We aim to achieve this without increasing the burden on those who have already contributed significantly. Your support in this effort will be essential.”
He also extended his congratulations to the IMF Chief on her election for a second term.
Expressing gratitude for her support in implementing the reforms, Tinubu emphasized the need for further institutional backing to achieve stability and sustainable growth.
In her speech, the Managing Director praised the Tinubu administration’s economic reforms and highlighted their positive outcomes.
She conveyed her wish to visit Nigeria and promised the President additional support in diversifying the Nigerian economy.
Georgieva praised the social investment programs for their role in protecting the most vulnerable and pledged that the organization would offer support in this area.
She stated that, contrary to popular belief, the IMF is dedicated to supporting vulnerable societies and allocating significant resources to emerging economies.
The IMF chief also indicated her willingness to provide technical assistance for the budgeting process, noting that this will help Nigeria achieve optimal results from loans.