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- The Center for the Promotion of Private Enterprise (CPPE), Nigeria has called for taking creative steps for stemming inflationary trends, insecurity and foreign exchange challenges in the New Year
- It said that those challenges should be the priorities for economic managers for next year
- In the meantime, the Federal Government is considering new taxes to improve its earnings, which the organization said would be counter -productive
- The rising cost of goods and services, the organization said, remained a source of concern. It is forcing farmers not to return to the farms.
The Centre for the Promotion of Private Enterprise (CPPE), Nigeria has called for taking creative steps for stemming inflationary trends, insecurity and foreign exchange challenges in the New Year. It said that those challenges should be the priorities for economic managers for next year. In the meantime, the Federal Government is considering new taxes to improve its earnings, which the organization said would be counter -productive.
The rising cost of goods and services, the organization said, remained a source of concern. It is forcing farmers not to return to the farms. The organization’s head Dr. Muda Yusuf, stated the need to minimize the monetization of the fiscal deficit. He maintained that the financing of the deficit by the Central Bank of Nigeria (CBN) should be strictly limited to the statutory threshold in the CBN Act. Headline inflation, according to him, was 16.47 per cent and rose to a peak of 18.17 per cent in March. Later, it decelerated incrementally to 15.40 per cent in November 2021. However, headline inflation has been on the increase on a month – on -month basis from January to date, albeit at a reduced rate. Inflationary pressure has been a major concern for industry and common people. This also partly contributed to steady depreciation of Naira.
Dr Yusuf added that the government should chalk out creative plans for farmers to return to the farm land rather than migrating to cities in search of livelihood. Laying emphasis on infrastructure and logistical development, Dr Yusuf said that the lack of a logistics network added to the transaction cost, which should be brought down.
