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Tinubu’s Economic Reforms Save ₦930 Billion and Set Nigeria on Path to Recovery, Says Edun

Published by admin on January 12th, 2025.

Tinubu’s Economic Reforms Save ₦930 Billion and Set Nigeria on Path to Recovery, Says Edun

According to Finance Minister and Coordinating Minister of the Economy, Wale Edun, the economic reforms introduced by the Tinubu administration, such as the market-driven pricing of premium motor spirit (PMS) and adjustments to foreign exchange policies, have saved Nigeria approximately ₦930 billion in lost revenue. This amount accounts for about five percent of the revenue losses the country had been experiencing.

Edun shared this information during a briefing on the 2025 Appropriation Bill with the Senate Committee on Appropriations on Thursday. He emphasized that the current administration inherited a fragile economy, but through targeted reforms, Nigeria is now on a path to economic recovery.

“The administration took over an economy in dire straits, but with strategic reforms, we are now on the road to recovery,” Edun stated.

He also highlighted the successful implementation of the 2024 recurrent expenditure in full, showcasing the government’s ability to meet its financial obligations despite the tough economic climate. Additionally, Nigeria’s Gross Domestic Product (GDP) growth surpassed three percent last year, a significant achievement, especially when compared to developed nations grappling with lower growth figures.

Edun emphasized that the government’s priority is to continue boosting revenue, improving fiscal discipline, and ensuring sustainable growth for all Nigerians. He pointed out that the consistent growth in revenue is being driven by improved performance from revenue-generating agencies like the Nigeria Customs Service and the Federal Inland Revenue Service, which are essential for meeting the administration’s development objectives.

Looking ahead, Edun revealed that the 2025 budget will focus on building on last year’s successes, with an emphasis on increasing the tax-to-GDP ratio and growing national revenues. He also reiterated President Tinubu’s commitment to maintaining fiscal stability, meeting debt obligations, and implementing policies that promote inclusive growth.

Industry, Trade, and Investment Ministry Sets ₦2.4 Trillion IGR Target for 2025

Meanwhile, Minister of Industry, Trade, and Investment, Jumoke Oduwole, also addressed the Senate committee, outlining the Ministry’s target of ₦2.4 trillion in internally generated revenue (IGR) for the 2025 fiscal year.

However, Oduwole expressed concerns that the ₦3.844 billion allocated for capital expenditure in the Ministry’s 2025 budget is insufficient to fund its planned initiatives, which are crucial to achieving the Tinubu administration’s Renewed Hope Agenda. She appealed to lawmakers for additional funding to align the Ministry’s projects with the goals outlined in the National Development Plan and the Medium Term Expenditure Framework.

Oduwole emphasized her Ministry’s commitment to fostering economic growth, creating jobs, and generating wealth. She detailed several ongoing programs and policies aimed at boosting industrialization, increasing trade and export, and attracting foreign direct investment. Among these initiatives are the Nigeria Industrial Revolution Plan, the National Enterprise Development Programme, the Trade Policy of Nigeria (2023-2027), and the Nigeria Investment Policy (2023-2027), all of which are geared towards promoting economic recovery and sustainable growth.