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| IMF Boss Ms Christine Lagarde visit Senate President H.E. Bukola Saraki |
His Excellency Prince Frank Ukonga commend Ms Christine Lagarde the
managing director of International Monetary Fund, for her passionate concern over the resilient economic conditions of the Nigerian political economy.saying -"Ms Christine Lagarde showed genuine concerned emotions and sensibilities and it is praiseworthy"
On the behalf of all the political party chairmen of Edo state and the South South Oil Producing region His Excellency the IPAC Chairman- Inter Party Advisory Council -Edo state and south south Region welcome Mrs Christine Lagarde to Africa and Nigeria on her 4 days working visit and are highly gratifying that she has been able to express the true conditions of the Nigerian economy prescribing and recommending policies of austerity to have a human face . This is highly remarkable coming form a person from the IMF.
She said that the Nigerian government’s decision to restrict foreign
exchange, a move that has affected millions of citizens, should only be a
temporary economic step said this
when she met members of the Nigerian Senate on Wednesday in Abuja.
“Additional exchange rate flexibility — both up or down — can help
soften the impact of external shocks, make output and employment less
volatile, and help build external reserves,” she advised. “It can also
help avoid the need for costly foreign exchange restrictions – which
should, in any case, remain temporary.”
The Nigerian government has imposed restriction on foreign exchange
access, blocking the use of Naira credit and debit cards abroad, and for
online transactions requiring payment in foreign currencies.
On proposal remove fuel subsidy she said the benefits of fuel subsidy in Nigeria are hugely skewed in favor of the rich at the expense of the poor.
“The subsidies that are still in place for kerosene and diesel should be targeted at those that need it most,” Ms. Lagarde said.
“However, research shows that over 70 per cent of subsidies often
benefit the rich, while less than seven per cent benefit the poor.
“Nigeria needs to take hard decisions on debt, expenditure, revenue.
Nigeria’s oil revenue should be spent on her people. Moving forward,
Nigeria should show resilience grow her economy,” she Said.
On Economic diversification she said “Nigeria’s economic diversification is remarkable”, the country’s 2016 economic outlook “is not high”.
She said Nigeria must fight against corruption and terrorism ravaging the North-East zone both of which pose “significant threat” to Nigerian economic development.
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Finally she promised the support of the IMF to develop Nigeria “There will probably be financial volatility going forward but IMF is
ready to offer technical and other forms of assistance to Nigeria at
Federal and State levels,” she said.Se said Nigeria is the giant of Africa and that whatever happens to Nigeria affects our neighbors significantly.
