AERMP Foresees Economic Growth for Nigeria by 2025 Amid Global Challenges
The AERMP predicts Nigeria’s economic growth by 2025, citing government reforms’ effectiveness in reducing inflation and food prices despite global tariff challenges. Olayinka Odutola emphasizes the need for reduced import dependency and support for small businesses to enhance local production and boost the economy.
The Association of Enterprise Risk Management Professionals (AERMP) has forecasted a significant economic boom for Nigeria by 2025, alongside a decline in inflation, despite global tariff wars. Olayinka Odutola, AERMP’s Director General, conveyed this outlook in a recent phone interview, dismissing concerns, including those from the Central Bank of Nigeria (CBN), regarding potential inflation from U.S. tariff increases. He emphasized that reforms from President Bola Tinubu’s administration are already yielding positive results, particularly in lowering food prices and boosting power generation.
Mr. Odutola highlighted that the government has successfully reduced food inflation during a period traditionally marked by high pricing due to Ramadan. He noted significant drops in food prices, attributing this success to the government’s efforts to counter food hoarding. Furthermore, he recognized improvements in security that impact food production and urged a focus on agricultural reforms to encourage youth participation in farming.
The Director General pointed to the Transmission Company of Nigeria’s achievements in increasing power generation to 5,713.60 megawatts, which he believes will support industrial growth. Odutola stressed the necessity for comprehensive support of ongoing reforms to unlock Nigeria’s vast economic potential and enhance its relevance in the international marketplace.
To mitigate the effects of U.S. tariff hikes, Odutola advocated for reduced dependency on imports through enhanced local production, infrastructure improvements, and support for small businesses. He argued that focusing on Micro, Small, and Medium-sized Enterprises (MSMEs) is crucial, as many advanced economies have prospered by leveraging the capabilities of these entities.
While commending current government efforts to ensure low-interest rates for small businesses, Odutola remarked that further involvement from banks, fintech companies, and the private sector is essential. He also called for the registration of small businesses to acquire accurate data, enabling better strategies for fostering growth. Additionally, he acknowledged positive reforms in the foreign exchange market and efforts within the oil and gas sector, advocating for increased local production and alternative energy sources.
In summary, forecasts from the AERMP indicate a positive economic trajectory for Nigeria by 2025, predicated on effective governmental reforms and strategic reduction of import dependency. The focus on enhancing local production and supporting MSMEs is critical for sustainable economic growth. To counteract external pressures, efforts must be intensified to cement Nigeria’s position in the global economy and empower local businesses.
Original Source: dailynigerian.com
