Business - Economy
Updated: September 04, 2020

Financial Experts Disappointed Over Nigeria's Economic Situation

By Olalekan Fakoyejo
September 04, 2020
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President Muhammadu Buhari's economic policies are having financial experts in Nigeria worried, as most of them can't fathom why Nigeria's economy is in its present situation. Although the country is struggling with the impact of COVID-19, the top financial experts feel Nigeria should be better off.

The Federal Government has been on an aggressive mode to increase revenue regardless of the impact it has on businesses and households in Nigeria. The government's austerity measures are affecting the disposable income population.

It is also increasing the population of the poor as the Buhari-led administration continues to struggle to alleviate poverty within the country. The rate of unemployment skyrocketed within 18 months, from 23.1 percent to 27.1 percent, and the country is heading for what the World Bank has described as Nigeria's worse recession in decades.

FG's Austerity Measures To Increase Misery Of Nigerians

While the number of employment rises, so as the inflation rate across Nigeria. And the government has been compounding the situation by increasing and initiating new taxes in a country where some basic amenities are provided by the citizens and not the government.

The National Assembly had also proposed monetizing water supply provided by citizens themselves in a country where the government has failed to provide public water supply. The National Assembly is planning to pass a bill that will request citizens to pay the government or obtain a license before creating a borehole and determine the extent of water a household can have.

The government is planning on increasing electricity tariffs, fuel price has been increased even though the government is still paying subsidy. Stamp duty was introduced to rent and electric payment systems. Also, prior to the COVID-19 pandemic, the government had increased VAT.

The austerity measures being adopted by the Nigerian government have begun to increase the cost of living in a country that disposable income is falling. The Finance Minister of Nigeria, Ahmed Zainab, already projected that 2020 will increase the misery of Nigerians.

Financial Experts Not Happy With Situation

The economic situation doesn't sit well with top financial experts in Nigeria. According to the financial experts, when they thought the end of a bad administration is over, the next administration becomes even worse than the predecessor.

In a series of vents, the financial professionals spoke of their displeasure for how Nigeria is being mismanaged every term without progress. The co-founder of Proshare, Olufemi Awoyemi, tweeted, "I am tired. Seriously I am. This country is better than what is happening or unfolding. I pray that we do what is right, ordained, and needed."

Another financial expert, Boason Omofaye said, "Here is the burden of being around for so long in this clime. When you think that you've seen the worst of one republic, the next one simply makes you feel like a fool. All of these, in a century in which you can simply buy a return ticket to the moon, courtesy Virgin Atlantic"

Omofaye added that "I sympathise with anyone who is 50yr+ old and have lived ALL his years in Nigeria. Meaning, he/she must have had the unfortunate privilege of (living) through at least 4 horrible Republics and 14 different (mal)administrations. I salute us all."

The Executive Director of African Incentive Partnership, Tunde Arogunmati, said, "It's a tough and challenging time, no doubt; it's time to begin to do; our prayers need to be given life therein."

Another financial expert and author of 'Honey In Its Budget', Yinka Ogunnubi, said, "The sheer number of times I go to bed feeling this way after "Nigeria" with its dysfunction happens. But I get up the next morning determined to protect my mind with positivity. Because the alternative is a downward spiral into emotional anarchy."