Tinubu’s economic reforms yield positive results, says Minister
The Federal Government on Monday affirmed that the nation’s economic reforms are beginning to produce successful outcomes, as it highlighted an increase in revenue for states and local governments, along with a decrease in public debt.
Minister of Budget and Economic Planning, Senator Abubakar Bagudu, made these remarks about the ongoing reforms during a meeting in Abuja with Mr. Matthew Verghis, the new World Bank Country Director for Nigeria.
According to a statement from the Ministry’s Director of Information and Public Relations, Mrs. Julie Osagie-Jacobs, Bagudu reiterated that the government’s reform initiatives are on course and yielding encouraging results.
He pointed out, “The significant rise in revenues accruing to states and local governments is a clear indication that our measures are effective. Additionally, we have seen substantial debt reduction.”
Bagudu expressed appreciation for the World Bank’s continued support, referencing the recently published Nigeria Development Update as evidence of the country’s economic progress. He added, “Our ambition is to grow Nigeria’s economy to $1 trillion,” stressing the importance of a well-defined strategy to achieve double-digit growth.
He also emphasized that ongoing success hinges on broad support from the political class, labor unions, and the private sector.
In response, the World Bank’s new country director, Matthew Verghis, lauded Nigeria’s reform efforts, drawing comparisons between Nigeria and India’s economic turnaround in the 1990s. He remarked, “India made similarly difficult policy choices that laid the foundation for sustained growth and poverty reduction over three decades.”
Verghis reinforced the World Bank’s commitment to assisting Nigeria in accelerating economic growth, creating jobs, fostering financial inclusion, and enhancing agricultural productivity. Prior to his new appointment, he held significant roles in managing macroeconomic and trade portfolios across East and Southern Africa, as well as East Asia.
It would be recalled that the National Orientation Agency has earlier reported that the 33 states and the Federal Capital Territory have successfully reduced their debt profiles, having repaid about N1.85 trillion in domestic debt from June 2023 to December 2024. The Agency attributed this success to the Tinubu administration’s policies of ending the petrol subsidy and floating the naira, calling them “tremendous blessings to the states” and contributing to increased federal allocations for education.
Source: PUNCH
